India’s palm oil imports fell by over 33% in September, reaching a six-month low of 527,314 metric tons. This was primarily due to rising domestic stocks and a rally in Malaysian palm oil prices, which discouraged buyers from importing large volumes.
The Solvent Extractors’ Association of India (SEA) reported a decline in overall vegetable oil imports, including soy oil, which fell 15.4%, and sunflower oil, which dropped 46.2%. The reduction in imports has reduced vegetable oil stocks in India to 2.45 million tons, down from 2.93 million tons the previous month.
The price performance of palm oil has been heavily influenced by higher stocks in India and rising costs from key producers like Indonesia and Malaysia. Despite the current lull in imports, market experts predict that India’s palm oil imports could rebound in October.
With festive demand boosting consumption, imports are expected to rise above 700,000 tons next month, allowing buyers to restock ahead of further price fluctuations.
