India’s vegetable oil imports registered strong growth during the first half of the 2025-26 oil year, supported mainly by a sharp increase in palm oil shipments from major exporting countries such as Indonesia and Malaysia. Rising domestic demand and changing global edible oil trade dynamics contributed to the higher import volumes during the period.
According to data released by the Solvent Extractors’ Association of India (SEA), the country imported nearly 7.94 million tonnes of vegetable oils between November 2025 and April 2026, compared with 7.04 million tonnes imported during the same period of the previous oil year.
Import Value Crosses ₹87,000 Crore
The increase in import volumes was also accompanied by higher import costs. In value terms, India’s vegetable oil imports during the six-month period rose to around ₹87,000 crore, compared to approximately ₹73,000 crore recorded a year earlier.
The higher import bill reflects both increased volumes and elevated international edible oil prices prevailing across global commodity markets.
India’s oil year is calculated from November to October, and the first-half data indicates continued dependence on overseas edible oil supplies to meet domestic consumption requirements.
Palm Oil Imports Witness Strong Surge
Palm oil remained the biggest contributor to the growth in imports during the period under review.
SEA data showed that India imported nearly 3.97 million tonnes of palm oil in the first half of the 2025-26 oil year, compared to around 2.74 million tonnes during the corresponding period last year.
Indonesia and Malaysia continued to dominate India’s palm oil supply chain, accounting for the majority of imports.
The increase in palm oil purchases came alongside comparatively lower imports of soft oils such as soybean oil and sunflower oil. Changes in international pricing trends and supply availability influenced the shift in import preference toward palm oil during the period.
Edible Oils Continue to Dominate Import Basket
Out of the total vegetable oil imports of 7.94 million tonnes, edible oils accounted for approximately 7.82 million tonnes, while non-edible oils contributed close to 121,000 tonnes.
India remains one of the world’s largest importers and consumers of edible oils due to strong demand from households, restaurants, food processing industries, and packaged food manufacturers.
Domestic production continues to remain insufficient to meet total consumption requirements, resulting in significant reliance on imported edible oils.
Global Market Conditions Influence Trade Trends
Global edible oil markets have remained volatile due to weather-related supply challenges, geopolitical tensions, shipping disruptions, and fluctuations in crude oil prices. These factors have influenced international vegetable oil prices as well as trade flows among major importing and exporting nations.
At the same time, changing consumer demand patterns and competitive pricing between palm oil, soybean oil, and sunflower oil continue to affect India’s import composition.
The rise in vegetable oil imports also comes amid broader concerns over food inflation and commodity price movements in international markets.
Summary
India’s vegetable oil imports increased by 13% during the first half of the 2025-26 oil year, reaching 7.94 million tonnes between November and April. The growth was largely driven by a sharp rise in palm oil imports from Indonesia and Malaysia, while imports of soybean and sunflower oil declined. In value terms, the country’s vegetable oil import bill rose to around ₹87,000 crore due to higher volumes and elevated global edible oil prices.
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