PALMOILMAGAZINE, MUMBAI — India is expected to raise its palm oil imports by nearly 20% in the 2025/2026 marketing year, driven by increasingly competitive prices that are helping the tropical oil regain market share. The projection was delivered by Sanjeev Asthana, President of the Solvent Extractors’ Association of India (SEA), on Thursday (21/11).
The anticipated surge in purchases from the world’s largest edible oil buyer could tighten palm oil inventories in key producing countries such as Indonesia and Malaysia, while also lending support to crude palm oil (CPO) futures traded on the Malaysian exchange.
“After the recent correction, palm oil has become far more competitive than other vegetable oils. This will underpin stronger import demand,” Asthana said, as quoted by Reuters and reported by Palmoilmagazine.com on Monday (24/11/2025).
Imports Rebound After Five-Year Low
Asthana estimates that India’s palm oil imports for the 2025/2026 marketing year, which began on November 1, could reach 9.3 million tons—a sharp rise from 7.58 million tons in the previous year, the lowest level in five years.
In the 2024/2025 period, India’s palm oil purchases fell 15.9%, as palm oil briefly traded at a premium to soybean oil.
The situation has now flipped: palm oil is currently traded at a discount of around US$100 per ton to soyoil, and more than US$200 cheaper than sunflower oil. This price gap has prompted Indian refiners to secure shipments months in advance.
Meanwhile, India’s soyoil imports are expected to slightly exceed last year’s record of 5.47 million tons. Sunflower oil imports, however, are projected to decline to 2 million–2.5 million tons, from 2.9 million tons a year earlier, following price increases triggered by crop damage in the Black Sea region.
Overall, India’s total vegetable oil imports are forecast to reach a record 16.5 million–17 million tons in the new season, in line with rising domestic consumption. Last year’s total imports stood at 16 million tons.
SEA has also signed a memorandum of understanding with the Federation of Oils, Seeds and Fats Associations to strengthen knowledge exchange across industries and reduce the risk of trade disputes during the import process. (P2)
