Growth in Edible Oil Imports; Palm Oil Plays a Key Role

In March, the country’s edible oil imports increased by 12% year-on-year, reaching 1.173 million tonnes. This growth was primarily driven by a significant rise in crude palm oil imports. Imports, which stood at 1,045,281 tonnes in March last year, rose to 1,173,168 tonnes in the same month this year. Crude palm oil imports surged from 343,949 tonnes to 673,965 tonnes, while non-edible oil imports declined from 27,742 tonnes to 13,401 tonnes. Overall, total imports of edible and non-edible oils recorded an 11% growth, reaching 1,186,569 tonnes. India continues to rely on imports for more than half of its domestic edible oil requirements, sourcing palm oil mainly from Indonesia and Malaysia, and soybean oil from Argentina and Brazil.

During the first five months of the 2025–26 marketing year (November to October), total vegetable oil imports rose by 8% to 6,572,131 tonnes. However, imports declined by 10% in March 2026 to 1.173 million tonnes, compared to 1.292 million tonnes in February. The rise in global prices and the depreciation of the rupee have impacted demand patterns. At the same time, the availability of the domestic mustard crop has eased some pressure on imports. Additionally, the increase in imports between December 2025 and February 2026 was attributed to importers stocking up in advance amid concerns over potential disruptions in global supply, according to the industry body.