India’s edible oil imports up 26.23% since November 2022
A sharp drop in domestic prices in August boosted demand for edible oil, leading to an increase in imports.
Data compiled by Solvent Extractors’ Association of India (SEA) showed that India imported 18.52 lakh tonnes (lt) of edible oil in August, against 13.75 lt a year ago, registering a growth of 34.69 per cent. India imported 17.55 lt of edible oil in July 2023.
India imported 139.74 lt of edible oil during November-August of the oil year 2022-23, against 110.70 lt in the corresponding period of 2021-22, recording a growth of 26.23 per cent.
With the import of vegetable oils, including edible and non-edible oils, touching 141.21 lt during the first 10 months of 2022-23, BV Mehta, Executive Director of SEA, said there could be a record import of over 165 lt during the current oil year ending in October. India’s highest import ever was 151 lt in 2016-17.
August boost
Stating that there was a surge in import of edible oil during August, Mehta said a sharp drop in domestic edible oil prices reignited demand, despite ample availability in the domestic market.
He said crude palm oil (CPO) imports rebounded, regaining competitiveness against soyabean and other oils, totalling 8.24 lt in August, slightly down from 8.41 lt in July.
Meanwhile, RBD palmolien imports increased from 2.17 lt in July to 2.83 lt in August. In total, palm product imports reached 11.28 lt in August, up from 10.86 lt in July.
He said soyabean oil imports rose to 3.58 lt in August against 3.42 lt in July, while sunflower oil imports increased to 3.66 lt in August from 3.27 lt the previous month.
Mehta said the surge in imports is driven by the currently low 5.5 per cent duty on CPO, soyabean oil, and sunflower oil, transforming India into a prime destination for excess oil supplies.
