India’s Edible Oil Import Costs Likely to Rise Sharply

20-May-2026 03:50 PM

Mumbai — Due to lower domestic supply, high global prices, and a sharp fall in the value of the rupee, India’s edible oil import expenditure is expected to rise significantly this year. During the first half of the current marketing season — from November 2025 to April 2026 — the import bill recorded a sharp increase, and it is expected to remain high during the second half (May–October 2026) as well. A large gap between demand and supply of edible oils is likely to continue in the domestic market.

Because of the ongoing crisis in West Asia, ocean freight charges have increased considerably, while the Indian rupee has weakened beyond the level of 96 against the US dollar. As a result, there is a strong possibility of a substantial rise in the edible oil import bill, especially in rupee terms.

India has long remained the world’s largest importer of edible oils, and this position is expected to continue in the coming years. In fact, India’s dependence on imported edible oils has increased to nearly 60 percent. Domestic oilseed production has largely stagnated within a limited range, making a major increase in edible oil production unlikely.

India mainly imports palm oil, soybean oil, and sunflower oil.