PALMOILMAGAZINE, MUMBAI – Palm oil and soyoil imports in India reached their highest level in a year in July 2024, according to six traders last Friday. The surge was driven by distilleries increasing their purchases due to a price correction and anticipation of import duties.
India, the world’s largest vegetable oil importer, saw a significant rise in palm oil imports, which helped reduce stockpiles in major producing countries like Indonesia and Malaysia, thereby supporting global reference prices. In July, imports to India increased by 39 percent compared to the previous month, reaching 1.09 million metric tons, the highest since August 2023.
“The positive margin in palm oil distilleries in May and June encouraged many buyers to order for July delivery,” Rajesh Patel, business partner in vegetable oil broker and trader of GGN Research said, as Palmoilmagazine.com quoted from Malay Mail, Tuesday (6/8/2024).
Also Read: India’s Palm Oil Imports in June Up 3%: Highest in Six Months
Besides palm oil, soyoil imports did increase 43 percent in July, reached 394.000 metric tons, the highest since the last 13 months. Sandeep Bajoria, CEO Sunvin Group said that the expectation to increase import duty in the 2024/2025 Budget of India, forced the buyers to increase their purchases. But Minister of Finance, India, Nirmala Sitharaman did not change vegetable oil import duty structure in the budget as it was reported last week.
India imported palm oil from Indonesia, Malaysia, and Thailand while soyoil and sunflower oil were imported from Argentina, Brazil, Russia, and Ukraine. On the other hand, sunflower oil imports got decreased 22 percent in July to be 364.000 metric tons from the previous record last month.
In general, palm oil and soyoil import leap increased the total palm cooking oil imports in India that reached 21 percent to be 1,85 million tons, the second highest level that was ever recorded. In the average, India imported 1,2 million tons palm cooking oil so far that started in November 2023.
“July 2024 imports hit the highest level, but it would be postponed for eight to ten days in the Port of Kandla to prevent the numbers,” Patel of GGN Research said.
Solvent Extractors’ Association of India should publish the official data about July 2024 imports by the midst of August 2024. (P2)
