Import of Vegetable Oils in India: Nov.’23 – Jan.’24 – down by 23%

The Solvent Extractors’ Association of India has compiled the Import data of Vegetable Oils (edible & non-edible) for the month of January 2024. Import of vegetable oils during January 2024 is reported at 1,200,835 tons compared to 1,661,750 tons in January 2023, consisting 1,191,921 tons of edible oils and 8,914 tons of non-edible oils i.e. down by 28%. The overall import of vegetable oils during first quarter of oil year during  Nov.’23 to Jan.’24 is reported at 3,673,111 tons compared to 4,773,419 tons during the same period of last year i.e. down by 23%.

Import of Vegetable Oil (Edible & Non-edible) Nov.’23 - Jan.’24 (Qty. in  MT)

Edible Oil Prices and Production:

Prices of edible oils, which are currently low, may go up this year on lower production, global economic issues and supply constraints. The availability of palm oil for edible oil requirements has come down as the main two producers Malaysia and Indonesia are diverting it for the production of biodiesel this could result in an increase in prices this year. World production of palm oil be seasonally low in Jan/March 2024, enforcing a reduction of stocks both in production and importing countries. According to Oilworld, soy oil market is  currently in transition from shortage to more ample supplies, the latter primarily reflecting the prospective  sharp increase of Argentine export supplies. In India sunflower oil import are seen diminishing this season owing to shrinking total import requirements and soya oil regaining market share.

Domestic Stock as on 1st Feb. 2024 :

The stock of edible oils  as on 1st Feb.,2024 at various ports is provisionally estimated at 854,000 tons (CPO 330,000 tons, RBD Palmolein 200,000 tons, Degummed Soybean Oil 198,000 tons and Crude Sunflower Oil 126,000 tons) and pipeline stock considering domestic production and consumption  reported at 1,795,000 tons.  The Total stock as on 1st Feb., 2024 reported at 2,649,000 tons compared to 2,897,000 tons as on 1st Jan., 2024 reduced by 248,000 tons and compared to Feb.’23 down by 7.64 lakh tons.

Current Stock Position at Ports & Pipelines: (Qty. in ‘000 M.T.)

Import of Refined & Crude Oil Ratio :-

During Nov.’23-Jan.’24 first quarter of oil year 2023-24, 667,412 tons of refined oil (RBD Palmolein) being imported compared to 632,400 tons more or less same and 2,980,287 tons of crude oil imported compared to 4,113,890 tons down by 28% in Nov.’22-Jan.’23. The share of Refined Oils (RBD Palmolein) has increased to 18% from 13% while Crude Oils share declined to 82% from 87% compared to same period of last year.

Import of Refined & Crude Edible Oils (Ratio) Nov.’23 - Jan.’24 (Qty. in MT)

Import of Palm Oil and Soft Oil :-

During Nov.’23-Jan.’24 first quarter of oil year 2023-24, Palm Oil import decreased to 2,546,660 tons from 3,084,591 tons, down by 17%, Also Soft Oil import has decreased to 1,101,039 tons from 1,661,699 tons in Nov.’22-Jan.’23, down by 32%.  However, share of Palm Oil increased to 70% from 65% and Soft Oils share reduced to 30% from 35% compared to last year of Nov.’22-Jan.’23.

Import of Palm Oil & Soft Oil (Ratio) Nov.’23 - Jan.’24 (Qty. in MT)

Country-wise Import of Palm & Soft Oil:

Indonesia and Malaysia are the major suppliers of RBD Palmolein and Crude Palm Oil to India. During Nov.’23-Jan.’24, Indonesia was major supplier of CPO (961,312 tons) and RBD Palmolein (614,285 tons) followed by Malaysia of CPO (729,458 tons),RBD Palmolein (53,127 tons) and CPKO (32,929 tons). In case of Crude Soybean Degummed Oil, India mainly imported from Brazil (214,442 tons) followed by Argentina (191,963 tons) while Crude Sunflower Oil mainly imported from Romania (232,083 tons) followed by Russia (160,907 tons), Argentina (119,432 tons)  and Ukraine (42,990 tons).

Country-wise Import of Edible Oils – Nov.’23 – Jan.’24 (Qty. in MT)

Average Prices and Rupee appreciation :  (Price in US$/CIF Indian Port/Ton)

Import of Non-edible Oils :

P.F.A.D. and P.K.F.A.D are the major non-edible oils being imported by the Soap and Ole-chemical industry. Import of Non-edible oils during Nov.’23 to Jan.’24 reported at 25,412 tons compared to 27,129 tons during the same period of last year i.e. down by 6%.