India ramps up rapeseed processing amid rising prices
India’s rapeseed prices surged 9% in March, defying seasonal trends, driven by strong global vegetable oil demand and booming meal exports—especially to China. Higher prices have accelerated farmer sales and domestic processing, helping reduce edible oil imports while supporting oilseed sector profitability.
India is experiencing an unusually high rise in rapeseed prices for the spring season. In March, the price of the crop jumped by 9%, prompting farmers to actively sell their stocks to private processors. Strong export demand for rapeseed oil and meal is stimulating domestic processing of the crop in the country, Reuters reports.
According to the publication, Indian rapeseed prices traditionally decline in March due to the arrival of the new harvest. However, in 2026, market conditions changed: global vegetable oil prices rose due to geopolitical tensions in Iran and expectations of increased biofuel consumption. Domestic prices for the crop reached parity with the minimum support price (MSP) of 6,200 rupees per 100 kg.
Rapeseed meal exports were one of the key drivers of this growth. According to the Oilseeds Crusher Association of India (SEA), shipments to China soared to 771,400 tonnes between April 2025 and February 2026, tenfold higher than the previous period (24,040 tonnes).
Intensive domestic rapeseed processing also allows India to reduce its dependence on expensive imported sunflower, soybean, and palm oils, which account for up to a third of domestic consumption.
According to FAS forecasts, India expects an oilseed harvest of 41 million tonnes, including 12.1 million tonnes of rapeseed (up 2% year-on-year) and 10.35 million tonnes of soybeans (down 3% due to lower crop prices). The combination of a record harvest and favorable global prices creates ideal conditions for maximizing the capacity of Indian oilseed mills.
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Source : Ukr Agro Consult
