India in February reduced edible oil imports by another 12% to a 4-year low

In February, India reduced its imports of edible oils by 12% compared to January to the lowest level since February 2021 at 884 thousand tons, in particular soybean oil - by 36% to an 8-month low of 284 thousand tons, and sunflower oil - by 22% to a 5-month low of 226 thousand tons. At the same time, palm oil imports grew by 36% to 374 thousand tons, although in January it reached the lowest level in the last 14 years.

Experts from Sunvin Group explain the sharp reduction in imports by high world prices and the increase in domestic production of edible oils.

Amid declining imports, the country's food oil stocks fell by 26% in February to a 4-year low of 1.6 million tons, so local importers may increase purchases in March, which will support prices for Malaysian palm oil and American soybean oil.

During the 2024/25 MY, India imported an average of 750,000 tons of palm oil each month, according to the SEA association, which is due to publish a report on February oil imports by mid-March.

Recall that India buys palm oil from Indonesia, Malaysia, and Thailand, and soybean and sunflower oil from Argentina, Brazil, Ukraine, and the Russian Federation.