Delayed soyabean sowing likely to push up edible oil prices
Delayed monsoon rains have postponed soybean sowing by nearly two weeks across major producing states including Madhya Pradesh, Maharashtra and Rajasthan, raising concerns over tighter domestic oilseed supplies. Industry warns El Niño and West Asia tensions could further lift edible oil prices, already up 10 percent.
Delayed soyabean sowing in key oilseed-producing states has raised concerns that tightening domestic supplies could drive up edible oil inflation, worsening the price pressures caused by the West Asia conflict. Sowing of soyabean is lagging by nearly a fortnight in Madhya Pradesh, Rajasthan, Maharashtra, Gujarat, Telangana and Karnataka. Edible oil companies fear that an El Nino-led weather disruption could further squeeze oilseed output and push retail prices higher.
Since the start of US-Iran war, prices of edible oils have shot up by 10%.
“The soyabean producing states are yet to get rainfall for sowing. It should rain at the earliest, and what is more important is the distribution of rain so that productivity is not affected,” said DN Pathak, executive director of Soyabean Processors Association of India (SOPA). According to SOPA, the country produced 11.02 mt soyabean in kharif season 2025.
Experts say the global edible oil market could face fresh supply-side pressures if an El Nino event impacts soya production across key producing regions like the US, Brazil and Argentina.
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Source : The Economic Times