Kedia Advisory - India’s edible oil imports declined 30% year-on-year to 11.11 lakh tonnes in June 2026, mainly due to lower palm and soybean oil purchases. Palm oil imports fell as its price advantage over soft oils narrowed, while global biofuel mandates in Indonesia, Malaysia, and the US supported vegetable oil prices. Despite the monthly decline, cumulative imports during November-June 2025-26 increased 7% to 103.88 lakh tonnes. India continued to shift toward crude edible oil imports, which accounted for 96% of total shipments. Rising international edible oil prices and an 11% depreciation in the rupee further increased import costs for domestic refiners.
Key Highlights
• India’s edible oil imports declined 30% YoY to 11.11 lakh tonnes in June 2026.
Palm oil imports dropped sharply as its price discount over soybean oil narrowed.
• Global biofuel mandates tightened vegetable oil supplies, supporting international prices.
• Cumulative edible oil imports during November-June still increased 7% year-on-year.
• Higher global prices and rupee depreciation raised import costs for Indian refiners.
India’s edible oil imports witnessed a sharp decline in June 2026, with total shipments falling 30% year-on-year to 11.11 lakh tonnes from 15.97 lakh tonnes a year earlier. The decline was primarily driven by lower imports of palm oil and soybean oil as international edible oil prices strengthened. Compared with June 2025, crude palm oil (CPO) prices increased 17%, RBD palmolein rose 18%, soybean oil gained 14%, and sunflower oil advanced 19%. An over 11% depreciation in the Indian rupee further increased the landed cost of imports, reducing buying interest among domestic refiners.Palm oil imports fell to 4.87 lakh tonnes in June from 5.46 lakh tonnes in May and 9.52 lakh tonnes a year ago. According to the Solvent Extractors’ Association of India (SEA), soybean oil imports also declined to 3.80 lakh tonnes from 4.93 lakh tonnes in May as palm oil lost its traditional price advantage over soft oils, with the discount shrinking to below $50 per tonne. At the same time, biofuel mandates in Indonesia, Malaysia, and the United States diverted more vegetable oils toward fuel production, tightening global supplies and keeping international prices elevated.Despite the weaker June performance, India’s cumulative edible oil imports during November-June of the 2025-26 oil year increased 7% to 103.88 lakh tonnes. The import mix also shifted significantly toward crude oils, which accounted for 96% of total imports compared with 85% a year earlier, while refined oil imports dropped sharply. Malaysia and Indonesia remained the leading palm oil suppliers, while Argentina and Russia continued to dominate soybean and sunflower oil exports to India. Nepal also maintained steady refined oil exports under the SAFTA duty-free arrangement
