India’s palm oil imports fall to a 14-month low

India’s palm oil imports dropped to 492,000 tonnes in June 2026, the lowest level in 14 months. According to market dealers, the decline was driven by weaker domestic demand and a narrower price advantage of palm oil over soybean oil.

Total edible oil imports into the country fell by 16.6% from May to around 1.1 million tonnes. Palm oil imports declined by 10.5%, soybean oil imports dropped 23% to 381,000 tonnes, and sunflower oil imports fell 17.5% to 244,000 tonnes.

One of the main reasons behind the slowdown was the narrowing price gap between palm and soybean oil. Palm oil is now trading at a discount of less than $50 per tonne to soybean oil, reducing the financial incentive for Indian refiners to switch to palm oil.

Buyer sentiment has also remained cautious. According to GGN Research, many importers are purchasing only enough to meet immediate demand while waiting for prices to ease further. In addition, extremely hot weather and higher cooking gas costs have weighed on edible oil consumption across the country.

Lower demand from the world’s largest edible oil importer could lead to rising inventories in the leading exporting countries, Indonesia and Malaysia. If stocks continue to build, exporters may be forced to increase price competition in order to maintain shipment volumes.

The Solvent Extractors’ Association of India (SEA) is expected to release its official June import data in mid-July. Market participants will closely monitor the figures, as confirmation of the estimated slowdown could add further pressure to global palm oil prices and influence the broader vegetable oil market.

Tags: sunflower oil, soybean oil, India, palm oil, imports