India increased vegetable oil imports by 40% in November, especially soybean and sunflower oil

After palm oil became the most expensive on the market, India sharply increased purchases of much cheaper soybean and sunflower oil.

According to the SEA Association, in November 2024 (the first month of the 2024/25 season), vegetable oil imports increased by 12% compared to October from 1.459 million tons to a record 1.628 million tons, which is 40% higher than the figure for November 2023 (1.161 million tons). Thus, imports of RBD palm olein increased compared to November last year from 171,069 to 284,537 thousand tons, crude sunflower oil - from 128,707 to 340,66 thousand tons, soybean oil - from 149,894 to 407,648 thousand tons.

Indian vegetable oil importers have been quick to adapt to the change in global prices and have increased imports of Argentine soybean oil due to its strong competitiveness. Excessive soybean imports have led to a decline in domestic oilseed prices to Rs 4,250-4,300/quintile, compared to the minimum retail price of Rs 4,892/quintile, making it difficult for local soybean processors, who are already suffering from the low competitiveness of Indian soybean meal in the global market. To support farmers and the market, the SEA Association has urged the government to lift the suspension of futures trading in SRO, SBO, mustard seed, soybean and not extend it beyond December 20, 2024.

Due to the increase in imports of vegetable oils in November, their stocks in ports as of December 1 increased to 998 thousand tons and amounted to: SRO - 332 thousand tons, palm olein - 212 thousand tons, soybean oil - 173 thousand tons, unrefined sunflower oil - 291 thousand tons. At the same time, stocks in warehouses increased to 1.571 million tons, and total stocks as of December 1 reached 2.569 million tons, which is 161 thousand tons higher than the figure as of November 1, 2024 (2.408 million tons).