India’s palm oil imports in September reached their lowest levels in four months, as refiners opted for cheaper soyoil replacements, according to five industry dealers.
This decline in palm oil imports, alongside an increase in soyoil imports, could influence the benchmark Malaysian palm oil futures downward while potentially bolstering US soyoil futures.
Specifically, palm oil imports decreased by 15.9% month-on-month to 833,000 metric tons in September, marking the lowest import level since May, as per dealer estimates. Conversely, soyoil imports surged by 37.3% to 505,000 metric tons, the highest figure since July 2022, while sunflower oil imports rose by 5.8% to a peak of 272,000 metric tons, also according to dealer estimates.
Overall, India’s total edible oil imports in September fell slightly by 0.7% to 1.61 million tons compared to the previous month due to the reduction in palm oil imports. Dealers noted that these figures do not include duty-free shipments via land borders from Nepal.
Sandeep Bajoria, chief executive of the Sunvin Group, a Mumbai-based vegetable oil brokerage, remarked, “Palm oil is more expensive than soyoil these days, so people are going for soyoil instead.” He further indicated that current levels of palm oil stock in India are adequate following substantial imports between June and August ahead of the festival season, during which demand for edible oils typically rises due to increased consumption of sweets and fried foods.
In September, India imported approximately 11,000 metric tons of soyoil from China, marking a notable return to importing from that country after a long hiatus, according to Rajesh Patel, managing partner at edible oil trader GGN Research.
Looking ahead, estimations from a Mumbai-based dealer connected to a global trade house suggest that India’s palm oil imports could drop to around 600,000 metric tons in October, while soyoil imports may exceed 450,000 metric tons.
India predominantly sources its palm oil from Indonesia and Malaysia, while it imports soyoil and sunflower oil from Argentina, Brazil, Russia, and Ukraine. Additionally, Nepal’s edible oil imports are reported to have fallen to 35,000 tons in September, down from 95,000 tons in August, according to GGN Research estimates.
Published on October 3, 2025.
