PALMOILMAGAZINE, NEW DELHI — India has recorded a sharp rise in palm oil imports, reaching 953,000 metric tons in June 2025 — a 61% increase from the previous month and the highest level in the past 11 months. The surge was driven by declining domestic stocks and a favorable price gap compared to other vegetable oils such as soybean and sunflower oil.
According to five market participants, the spike in Indian demand signals a positive outlook for top global producers like Indonesia and Malaysia, who are working to ease excess stockpiles. The increased demand from India is expected to support global palm oil prices, including benchmark contracts on the Malaysian exchange.
“Palm oil has regained market share it had previously lost. Currently, it is nearly US$100 cheaper per ton than rival oils,” said Sandeep Bajoria, CEO of Sunvin Group, a leading Indian vegetable oil brokerage, as quoted by Palmoilmagazine.com from India Times on Wednesday (Aug. 6, 2025).
Also Read: Palm Oil Boosts Non-Oil Exports, Indonesia’s Trade Surplus Hits USD 19.48 Billion in H1 2025
Data from the Solvent Extractors’ Association of India (SEA) shows that during the first seven months of the marketing year ending October 2025, India imported an average of 475,699 tons of palm oil per month — still below the previous year’s average of 750,000 tons.
Nonetheless, June’s rebound suggests demand is strengthening in line with improving refining margins in India.
Meanwhile, soybean oil imports fell 9% from the previous month to 363,000 tons, while sunflower oil imports rose 18% to 216,000 tons, according to trade estimates.
Overall, India’s vegetable oil imports in June 2025 climbed 30% from May, reaching 1.53 million tons — the highest since November last year.
Rajesh Patel, Managing Partner at GGN Research, predicts the trend will likely continue in the coming months. “Palm oil remains competitively priced, while output from major producers is also starting to rise. This is prompting many buyers to secure supplies earlier,” he explained. (P2)
