India’ edible oil imports hit 4-year low, dealers say
India’s edible oil imports fell to a four-year low in February, with soyoil down 36% to 284,000 tons and sunflower oil down 22% to 226,000 tons. Palm oil imports rebounded 36% to 374,000 tons after a 14-year low in January. Reduced imports have cut stocks by 26%, likely leading to increased purchases in March.
India’s edible oil imports in February plunged to their lowest level in four years due to a fall in soyoil and sunflower oil imports, although palm oil imports improved from their lowest level in nearly 14 years, hit in January, five dealers said. Lower-than-normal imports for the second straight month have depleted stocks in the world’s biggest buyer of vegetable oils and could force India to increase purchases in coming months, supporting Malaysian palm oil prices, and U.S. soyoil futures. Palm oil imports rose 36 per cent in February from the previous month to 374,000 metric tons after falling to their lowest level since March 2011 in January, according to estimates from dealers.
India imported an average of more than 750,000 tons of palm oil every month in the marketing year that ended in October 2024, says trade body the Solvent Extractors’ Association of India, which is set to publish its February import data by mid-March. Soyoil imports in February plunged 36 per cent from a month earlier to 284,000 metric tons, the lowest in eight months, while sunflower oil imports fell 22 per cent to 226,000 metric tons, the lowest in five months, dealers said. Lower shipments of soyoil and sunflower oil brought down the country’s total edible oil imports in February by 12 per cent to 884,000 tons, the lowest since February 2021, according to dealers’ estimates. Elevated overseas prices and higher supplies of local edible oils prompted refiners to reduce imports in February, said Sandeep Bajoria, CEO of Sunvin Group, a vegetable oil brokerage. Lower February imports have brought down edible oil stocks in India by 26 per cent from a month ago to 1.6 million tons on March 1, the lowest in more than 4-years, dealers estimate. After unusually low imports in January and February, the country’s imports could start increasing from March onwards, said Rajesh Patel, managing partner at GGN Research, an edible oil trader. India buys palm oil mainly from Indonesia, Malaysia and Thailand, while it imports soyoil and sunflower oil from Argentina, Brazil, Russia and Ukraine.
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Source : ET Retail.com
