India imported 160.1 lakh tonnes (lt) of edible oil worth ₹1.61 lakh crore ($18.3 billion) during the oil year 2024-25 (November-October) against 159.6 lt worth ₹1.31 lakh crore ($15.90 billion) in the oil year 2023-24. While the imports recorded flat growth, the value of imported commodities increased by 22.9 per cent in rupee terms.
Data compiled by the Solvent Extractors’ Association of India (SEA) showed a decline in the import of palm oil (includes crude palm oil and RBD palmolein) and sunflower oil. However, there was an increase in the import of soybean oil.
BV Mehta, Executive Director of SEA, said the Government increased the duty difference between crude and refined oils from 8.25 per cent to 19.25 per cent with effect from May 31, 2025. This resulted in the stoppage of the import of refined palm oil. However, a large quantity of refined soybean and sunflower oil was shipped to India from Nepal under SAFTA agreement at nil duty.
While total palm oil imports declined to 75.82 lt in oil year 2024-25 from 90.15 lt in oil year 2023-24, the import of soybean oil increased to 54.68 lt in 2024-25 from 34.40 lt in 2023-24. India’s sunflower oil imports declined to 29.36 lt in 2024-25 (35.06 lt).
Mehta said India’s imports from Nepal were reported at 7.5 lt in the oil year 2024-25 under SAFTA agreement at nil duty. These imports mainly included refined soybean and sunflower oil.
Import projection
“In the oil year 2025-26, considering the domestic oilseeds crop and growth in demand, import may be at the same level with plus or minus 3-4 lt. The quantum of type of oil imports will depend on the price parity and the availability in international market,” he said.
Import bill
He said India resorted to edible oil imports in 1990s to bridge the gap between supply and demand. In the initial period, the import volume was very low. However, in last 20 years (2004-05 to 2024-25), import volume has increased by 2.2 times while cost of import has gone up nearly 15 times.
In 2024-25, India had to spend nearly ₹1.61 lakh crore in 2024-25 for import of 160 lt of edible oils, he said.
Major exporters
Indonesia exported 27.53 lt of crude palm oil (CPO) and 8.32 lt of RBD palmolein during the oil year 2024-25. This was followed by Malaysia at 26.22 lt of CPO and 1.29 lt of RBD palmolein.
In case of crude soybean degummed oil, India imported 28.92 lt from Argentina followed by 11.43 lt from Brazil, 2.63 lt from Russia, and 1.88 lt from the US.
During the oil year 2024-25, India imported 14.71 lt of crude sunflower oil from Russia followed by 6.16 lt from Argentina and 5.76 lt from Ukraine.
India imported 6.59 lt of refined soybean oil and 56,972 tonnes of refined sunflower oil from Nepal during the year.
Outlook
Stating that India was fortunate to have normal rains in the last five straight years, he said the average production of oilseeds (as per government) is estimated at 42.6 million tonnes (mt) in the oil year 2024-25 (39.7 mt). This is apart from 9.1 mt of cottonseeds and half a mt of copra.
In India, current edible oil consumption is about 26 mt, growing at 3-4 per cent per annum. By 2029-30, India may need 30-32 mt of edible oils, while local production is expected to be 15-17 mt, he said, adding that India will continue to import edible oils to bridge the gap between demand and supply.
The Indian government is focusing on increasing the domestic production of palm oil. It aims to produce 3 mt by 2029-30 to meet the growing demand, he added.
Published on November 13, 2025