PALMOILMAGAZINE, MUMBAI – After a five-month lull in buying activity, India has resumed crude palm oil (CPO) imports as of early April 2025, driven by a decline in prices that has made palm oil more competitive than soybean oil. Refiners are rushing to replenish dwindling stocks as the price gap shifts in palm oil’s favor.
“India had been holding back on purchases due to high palm oil prices. But now that it’s cheaper than soybean oil, orders have resumed,” said Sandeep Bajoria, CEO of Sunvin Group, a vegetable oil brokerage firm, as reported by Palmoilmagazine.com via Reuters on Thursday (April 24, 2025).
Currently, CPO for May delivery to India is being offered at around USD 1,050 per ton (CIF), while crude soybean oil is priced at approximately USD 1,100 per ton.
Also Read: CPO Prices at KPBN Inacom Declined on Wednesday (April 30), Malaysian Palm Oil Futures Also Weakened
India—the world’s largest importer of palm oil—had significantly reduced its purchases since December 2024 when the price gap between palm and soybean oil widened past USD 100 per ton. Between December and March, India imported just 1.57 million tons of palm oil, averaging around 384,712 tons per month—well below the monthly average of 750,000 tons in the marketing year ending October 2024.
However, that trend is expected to reverse. Industry sources estimate India’s palm oil imports will reach 350,000 tons in April, rising to over 500,000 tons in May, and potentially exceeding 600,000 tons in June. From July to September, monthly volumes are projected to rebound above 700,000 tons.
“Domestic stocks have shrunk due to the recent import slowdown. Refiners now need to rebuild inventories,” said Rajesh Patel, managing partner at GGN Research, a vegetable oil trading firm.
India sources most of its palm oil from Indonesia and Malaysia, while soybean and sunflower oil imports come from Argentina, Brazil, Russia, and Ukraine.
India’s renewed buying spree is expected to lend support to Malaysian palm oil futures, which have fallen nearly 10% so far in 2025.
Official import figures for April will be released by the Solvent Extractors’ Association of India (SEA) in mid-May. (P2)
