India’s vegetable oil imports rise nearly 7% on strong soybean oil purchases

India increased its vegetable oil imports by 6.7% year-on-year in May 2026 to 1.34 million tonnes. The growth was mainly driven by a significant rise in crude soybean oil shipments, according to the Solvent Extractors’ Association of India (SEA).

SEA data showed that crude soybean oil imports climbed to 493,900 tonnes in May, compared with 398,600 tonnes in the same month a year earlier. Total vegetable oil imports, including non-edible oils, rose by 8% to 1.37 million tonnes, while non-edible oil imports more than doubled to 26,200 tonnes.

During the first seven months of the MY 2025/26, India imported 9.37 million tonnes of vegetable oils, up 12% from the corresponding period of the previous season. Imports of edible oils increased by 13% and exceeded 9.2 million tonnes.

According to SEA, stronger soybean oil imports were supported by a narrower price gap between soybean oil and palm oil, making soybean oil more competitive for Indian buyers. At the same time, the government raised the tariff value of crude palm oil to $1,218 per tonne and refined palm oil to $1,222 per tonne from June 1, while slightly reducing the tariff value of crude soybean oil.

A sharp decline in refined palmolein imports was another notable development. No imports of the product were recorded in May, while cumulative imports between November 2025 and May 2026 fell to 47,300 tonnes from 826,800 tonnes a year earlier. The decline reflects the government’s policy of maintaining a substantial duty differential between crude and refined oils.

SEA noted that the policy continues to encourage imports of crude oils and supports India’s domestic refining industry. The share of refined oils in total imports during the first seven months of the current marketing year fell to 3% from 16% a year earlier, while the share of crude oils increased to 97%. The association also pointed out that significant volumes of refined oils continue to enter India from Nepal under the duty-free provisions of the SAFTA agreement.

Tags: Vegetable Oil, India, imports