India`s Oilmeal Exports Decline 9.34% Amid Lower Rapeseed Demand by Amit Gupta, Kedia Advisory
India's oilmeal exports fell by 9.34% to 36.03 lakh tonnes (lt) in April-January 2024-25, compared to 39.74 lt in the previous fiscal. A sharp drop in rapeseed meal exports to 15.42 lt (from 18.95 lt) and castorseed meal exports to 2.58 lt (from 3.27 lt) contributed to the decline. Uncertainty in Bangladesh, a key rapeseed meal buyer, impacted shipments. However, soybean meal exports surged to 17.71 lt due to higher European demand. Major buyers like South Korea, Vietnam, Thailand, and Bangladesh reduced purchases, further affecting the trade. Despite an increase in soybean production, overall oilmeal exports struggled due to weaker demand and competitive global markets.
Key Highlights
* India’s oilmeal exports dropped by 9.34% in April-January 2024-25.
* Rapeseed and castorseed meal exports saw a sharp decline.
* Soybean meal exports rose to 17.71 lt due to European demand.
* Bangladesh’s reduced purchases impacted overall oilmeal exports.
* Key buyers like South Korea and Vietnam imported lower quantities.
India’s oilmeal exports declined by 9.34% in April-January 2024-25, totaling 36.03 lt compared to 39.74 lt in the previous fiscal. The drop was mainly due to a sharp fall in rapeseed meal exports, which fell from 18.95 lt to 15.42 lt, and castorseed meal exports, which declined from 3.27 lt to 2.58 lt. However, soybean meal exports saw a rise to 17.71 lt from 15.86 lt, driven by strong demand from European nations like Germany and France.
The price performance of oilmeals varied based on demand and procurement. The Indian government procured over 14.73 lt of soybeans at an MSP of ?4,892 per quintal, with Maharashtra and Madhya Pradesh leading in purchases. While the government estimated soybean production at 133.60 lt for 2024-25, SOPA's projection stood lower at 125.82 lt. Uncertainty in Bangladesh led to reduced rapeseed meal exports, directly impacting the overall figures.
Major buyers reduced imports, contributing to the decline. South Korea imported 5.99 lt of oilmeals, down from 7.66 lt, while Vietnam's purchases dropped from 3.78 lt to 2.07 lt. Thailand's oilmeal imports also fell from 5.25 lt to 3.53 lt. Bangladesh remained a key buyer with 6.21 lt of oilmeals but still recorded a decline from the previous year. Despite an increase in soybean exports, the overall market struggled due to weak demand and trade uncertainties.
Finally
India’s oilmeal exports faced pressure due to weak rapeseed demand and trade uncertainties. While soybean exports improved, declining purchases from major buyers kept overall shipments lower this fiscal.
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