Palm oil imports rose 87 percent in May to reach a six-month high

04-Jun-2025 04:33 PM

Mumbai. Industry analysts and trade experts report a sharp increase in edible oil imports in May, with palm oil imports rising by 87 percent compared to April, reaching the highest monthly level since November 2024. This significant surge was attributed to low domestic stocks and the relatively attractive pricing of palm oil compared to other major edible oils such as soybean oil and sunflower oil.

During May, palm oil imports reached 6 lakh tonnes, marking a substantial rise. In the same period, soybean oil imports are estimated to have increased by 10 percent to 3.98 lakh tonnes, the highest since January, while sunflower oil imports rose by 2 percent to 1.84 lakh tonnes. As a result, the total edible oil imports in India are expected to have increased by 37 percent to 11.80 lakh tonnes in May, the highest since December 2024.

According to leading analysts, palm oil imports may further rise to 7.50 lakh tonnes in June and 8.50 lakh tonnes in July. The Central Government’s recent decision to reduce the basic import duty on crude edible oils from 20 percent to 10 percent is expected to encourage refiners to boost imports of crude palm oil. Additionally, the softening of palm oil prices in exporting countries has made imports more appealing. In previous months, declining monthly imports of palm oil had been a cause of concern, but the latest data suggests a strong reversal in trend.