Sunflower oil imports likely to decline in the current month

24-Jul-2024 07:52 PM

Mumbai. Industry and trade sector analysts believe that the import of palm oil and soy oil in the country will increase during July as compared to June, while the import of sunflower oil will decline.

During the month under review, soybean oil imports are expected to jump 45 percent to 4 lakh tonnes, which will be the highest level in the last 13 months. Soybean oil is mainly imported from Argentina and Brazil.

It takes more than six weeks for the consignment of soybean oil to reach India from there. It is understood that some consignments were to reach Indian ports in June, but there was a delay in it and its cargo could reach only in July. 

As far as sunflower oil is concerned, its import is estimated to decline to 3.80 lakh tonnes in July 2024, which is about 18 percent less than the record import of June.

India imports sunflower oil in large quantities from Russia, Romania, Ukraine and Argentina, while palm oil is imported mainly from Indonesia, Malaysia and Thailand. 

Due to a difference of more than $100 per tonne in the prices of palm oil and soybean oil, Indian refiners had contracted import of palm oil (CPO) in large quantities for July delivery in May-June.

It may be noted that in April, there was a difference of only $10 per tonne in the price of these two rival edible oils, due to which India's palm oil imports decreased and soybean oil imports increased. The equation changed in July.