• India buys palm oil mainly from Indonesia, Malaysia and Thailand, and imports soy oil and sunflower oil from Argentina, Brazil, Russia and Ukraine.
  • Significant Decline: India’s palm oil imports witnessed a sharp decline in early 2025. In January 2025, imports plunged to a 13-year low, primarily due to a shift towards soybean oil. This is a crucial point to remember, as it highlights a change in India’s edible oil consumption patterns.
  • Shift to Soybean Oil: The primary reason for the decline in palm oil imports is the increasing preference for soybean oil among Indian consumers. Soybean oil became more attractive due to its lower price compared to palm oil. This price difference played a major role in influencing import decisions.
  • Global Price Dynamics: The change in India’s import patterns has implications for global edible oil prices. Lower demand for palm oil from India, the world’s largest importer, could put downward pressure on global palm oil prices. Conversely, increased demand for soybean oil could support its price in the international market.