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India’s palm oil imports soared 60% month-on-month in October to 845,682 metric tons, driven by festive demand and replenished stocks, the Solvent Extractors' Association (SEA) reported. This rise could pressure global palm oil stocks in Indonesia and Malaysia. Meanwhile, soyoil imports dropped 11%, and sunflower oil imports rose 56.5%. Total vegetable oil imports for the 2023-24 year fell 3% to 16.2 million tons due to improved domestic production and reduced demand from higher prices. The SEA projects a potential 1-million-ton reduction in edible oil imports in 2024-25, thanks to an anticipated record domestic oilseeds harvest.

Key Highlights

* October palm oil imports surged 60% to 845,682 tons.

* Festive demand drove increased consumption of edible oils.

* Soyoil imports declined by 11%, while sunflower oil rose 56.5%.

* Total vegetable oil imports dropped 3% in 2023-24.

* Domestic oilseeds crop may lower 2024-25 imports by 1 million tons.

India’s palm oil imports in October witnessed a robust 60% month-on-month increase, totaling 845,682 metric tons, as refiners replenished stocks to meet festive demand, according to the Solvent Extractors' Association of India (SEA). This rise in imports coincided with Dussehra and Diwali celebrations, boosting the consumption of sweets and fried foods.

The surge in palm oil imports may tighten stocks in major producing nations like Indonesia and Malaysia, potentially supporting benchmark palm oil futures. In contrast, soyoil imports fell 11% to 341,818 tons, while sunflower oil imports rose sharply by 56.5% to 239,116 tons.

For the 2023-24 marketing year, total vegetable oil imports declined by 3% to 16.2 million tons due to a larger domestic oilseed crop and higher global prices that constrained demand. Palm oil imports for the year were steady, but soyoil saw a 6.4% dip to 3.44 million tons, while sunflower oil imports surged 16.8% to 3.51 million tons.

Looking ahead, the SEA projects that India’s edible oil imports could drop by 1 million tons in the 2024-25 marketing year due to expectations of a record domestic oilseed harvest, which would further reduce reliance on global markets.

Finally

India’s palm oil imports surged in October, driven by festive demand, but future imports may dip due to a record domestic oilseed crop, strengthening self-sufficiency.

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