Edible Oil Imports in India See 11.65% Decline in H1 of 2023-24 Oil Year

India's edible oil imports decreased by 11.65% in the first half of the 2023-24 oil year (November-October), with imports totaling 70.69 lakh tonnes (lt) compared to 80.02 lt in the same duration last year. However, April 2024 saw a significant rise in imports, with 13.04 lt imported, marking a 27.67% increase from April 2023.

According to the Solvent Extractors’ Association of India (SEA), the uptick in April imports was driven by a downward trend in international prices. The price of refined, bleached, and deodorized (RBD) palmolein and crude palm oil (CPO) dropped by nearly $100 per tonne, while soybean oil prices fell by $40 per tonne and sunflower oil by $15 per tonne.

Despite this increase, the first half of the year saw a 14.18% decline in palm oil imports, which fell to 42.13 lt from 49.09 lt the previous year. Notably, RBD palmolein imports rose to 1.24 lt in April 2024 from 93,799 tonnes in March, and CPO imports increased to 5.36 lt in April from 3.81 lt in March. Indonesia and Malaysia remained the primary suppliers, providing 24.08 lt and 14.50 lt respectively.

Soybean oil imports also fell significantly by 27% to 12.68 lt from 17.25 lt in the corresponding period last year. Argentina, Brazil, and Russia were the main suppliers. April 2024 saw a substantial rise in soybean oil imports to 3.85 lt from 2.18 lt in March.

Conversely, crude sunflower oil imports increased by 16.10% to 15.87 lt from 13.67 lt. Russia and Romania were the top exporters.

India's total vegetable oil imports, including non-edible oils, dropped by 11.86% to 71.48 lt in the first half of the 2023-24 oil year from 81.10 lt a year earlier. Despite this decline, lower international prices and extended lower import tariffs have supported the import quantity.