Indian Oilmeal Exports Rise by 30% in April-October, Driven by Revival in Soya Shipments and Surge in Rapeseed Meal

India witnessed a substantial growth of 29.89% in oilmeal exports in the initial seven months of the fiscal year 2023-24, reaching 25.66 lakh tonnes compared to 19.75 lakh tonnes during the same period in 2022-23.

Data from the Solvent Extractors’ Association of India (SEA) revealed that in October 2023 alone, oilmeal exports rose to 2.89 lakh tonnes, marking a 36% increase from the 2.13 lakh tonnes recorded in October 2022.

Soyabean Meal and Rapeseed Meal Drive Growth

BV Mehta, Executive Director of SEA, attributed this growth to the resurgence in soyabean meal exports and a surge in rapeseed meal shipments. The export of soyabean meal during April-October 2023-24 soared to 6.73 lakh tonnes, a substantial rise from the 1.61 lakh tonnes exported in the corresponding period the previous year. Mehta emphasized that the competitive pricing of Indian soyabean meal, priced at $570 per tonne as of November 16, compared favourably to the $606 per tonne quoted for the Argentinean counterpart (CIF Rotterdam), boosting overseas demand.

Similarly, the export of rapeseed meal during April-October 2023-24 reached 15.13 lakh tonnes, surpassing the 13.39 lakh tonnes recorded in the same period the previous year. India is now the most competitive supplier of rapeseed meal to countries such as South Korea, Vietnam, Thailand, and other Far-East nations, with a price of $325 per tonne (f.o.b. India). This exceeded the $335 quoted for a rapeseed meal from Hamburg (ex-mill).

De-Oiled Ricebran Export Ban Causes Concern

Despite the overall positive trend, the oilmeal processing industry faces challenges due to the ban on the export of de-oiled ricebran. India traditionally exports 5-6 lakh tonnes of de-oiled ricebran annually to countries like Vietnam, Bangladesh, and Thailand. The ban, enforced by the Union government from July 28 to November 30, has particularly impacted the industry.

In the period from April to July 2023-24, only about 1.5 lakh tonnes were exported. The SEA has petitioned Parshottam Rupala, Union Minister for Fisheries, Animal Husbandry and Dairying, requesting the government to lift the ban on de-oiled ricebran exports and not extend it beyond November 30.