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OILS AND FATS

India’s palm oil imports fall to five-month low in October on weak demand and higher stocks
Wednesday, 05 November, 2025, 12 : 00 PM [IST]
Our Bureau, Mumbai
India’s palm oil imports dropped to a five-month low in October 2025, as higher domestic inventories, weak demand from the food sector, and narrowing price gaps with soft oils reduced buying interest, according to trade estimates released by the Solvent Extractors’ Association of India (SEA).

Total palm oil imports including both crude and refined varieties stood at 7.5 lakh tonnes in October, down from 9.8 lakh tonnes in September. This marks the lowest level since May 2025, when imports had slipped due to high international prices and sluggish festival demand.

Industry officials said the fall in imports was primarily due to ample stock availability in Indian ports and warehouses, which currently hold over 12 lakh tonnes of edible oils. Additionally, soft oils like soybean and sunflower oil became relatively cheaper, prompting refiners to switch preferences.

“Palm oil demand remained muted in October as refiners slowed down purchases ahead of expected global price corrections,” said B.V. Mehta, Executive Director of SEA. “Buyers are cautious due to weak consumption in the HoReCa segment and higher inventories in the domestic market.”

Imports of crude palm oil (CPO) from Indonesia and Malaysia — India’s main suppliers — were particularly affected, while refined bleached deodorized (RBD) palm olein shipments also declined slightly due to reduced parity with crude imports.

India is the world’s largest importer of vegetable oils, meeting over 60 per cent of its consumption needs through imports. For the first ten months of 2025, India’s overall edible oil imports rose 6 per cent year-on-year, driven mainly by higher arrivals of soybean and sunflower oils.

Trade analysts expect palm oil imports to rebound modestly in November and December, provided prices stabilize and demand picks up during the winter and wedding season.
 
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