Despite an 11.65% decline in the first half of the 2023-24 oil year, April witnessed a remarkable 27.67% surge in Indian edible oil imports, driven by favorable price trends. Palm oil imports decreased, while soyabean and sunflower oil imports fluctuated, with major suppliers including Indonesia, Malaysia, and Russia.
Highlights
Decline in Edible Oil Imports: India's edible oil imports during the first half of the 2023-24 oil year decreased by 11.65%, totaling 70.69 lakh tonnes compared to 80.02 lakh tonnes in the same period the previous year.
April Surge in Imports: Despite the overall decline, there was a significant increase in edible oil imports during April 2024, reaching 13.04 lakh tonnes, marking a growth of 27.67% compared to April 2023.
Price Trends Influence Imports: The downward price trend in April contributed to higher imports of edible oils, with international prices of RBD palmolein, crude palm oil (CPO), soyabean oil, and sunflower oil experiencing decreases.
Palm Oil Imports: India imported 42.13 lakh tonnes of palm oil during the first six months of the oil year 2023-24, a decrease from 49.09 lakh tonnes in the corresponding period of the previous year.
Country-wise Suppliers: Indonesia and Malaysia were the primary suppliers of CPO and RBD palmolein to India during November-April, with Thailand also exporting CPO during this period.
Soyabean Oil Imports: India imported 12.68 lakh tonnes of crude soyabean oil (de-gummed) during November-April of the oil year 2023-24, with significant imports from Argentina, Brazil, and Russia.
Sunflower Oil Imports: Crude sunflower oil imports increased to 15.87 lakh tonnes during November-April 2023-24, with Russia, Romania, Argentina, and Ukraine being major exporters to India.
Total Vegetable Oil Imports: Including both edible and non-edible oils, India imported 71.48 lakh tonnes of vegetable oils during the first half of the oil year 2023-24, reflecting an 11.86% decline compared to the same period the previous year.
Conclusion
The dynamic landscape of Indian edible oil imports reflects a balance between price sensitivity and demand dynamics. While the overall decline in imports suggests a cautious market sentiment, the surge in April underscores the adaptability of the industry to capitalize on price fluctuations. Going forward, sustained monitoring of global price trends and strategic partnerships with key suppliers will be pivotal in navigating the challenges and opportunities in the edible oil market.