India’s palm oil imports fell to five-month low in October

India’s palm oil imports fell to a five-month low in October 2025 amid weak demand and higher domestic stocks, according to trade estimates from the Solvent Extractors’ Association of India (SEA).

Total palm oil imports, including both crude and refined varieties, were around 750,000 tonnes in October, down sharply from approximately 980,000 tonnes in September.

This low level of imports marks the smallest volume since May 2025, when shipments slowed due to high international prices and lackluster festival demand.

Industry sources attribute the decline primarily to ample inventories in Indian ports and warehouses, which hold over 1.2 million tonnes of edible oils, reducing the urgency for fresh imports.

Additionally, weak demand from the food sector has curtailed buying interest. Refiners have notably shifted preferences toward cheaper soft oils such as soybean and sunflower oil, which have become more economically attractive amid narrowing price gaps relative to palm oil.

This import slowdown has broader market implications. India’s reduced palm oil purchases have exerted downward pressure on Malaysian palm oil futures, the global benchmark for the commodity.

Conversely, U.S. soybean oil futures have seen relative support as Indian buyers increase their purchases of alternative vegetable oils.

Reports indicate that soybean oil imports surged in recent months, reaching multi-year highs, while sunflower oil imports also rose.

For the 2024/25 marketing year ending in October, India’s total palm oil imports dropped 16% year-on-year to about 7.56 million tonnes, the lowest level recorded in five years.

The overall edible oil imports in October also declined about 20.7% month-on-month to 1.27 million tonnes, reflecting the reduced palm oil volumes and moderated imports of other oils.

India’s palm oil import decline in October reflects a combination of rising stock levels, subdued food sector demand, and a strategic shift towards other edible oils, especially soybean oil.

This development signals a temporary moderation in demand from the world’s largest edible oil consumer, affecting global palm oil market dynamics and pricing.

Tags: prices, India, palm oil, imports