Soybean oil prices rise on CBOT after India agrees to reduce customs duties on US soybean oil imports

10-Feb-2026 06:00 PM

Chicago. After India agreed to reduce customs duties on US soybean oil imports under a bilateral trade agreement, futures prices for this important edible oil on the Chicago Board of Trade (CBOT) jumped to their highest level in more than six months. The Indian market will now be fully open for US soybean oil, potentially leading to a significant increase in imports.

Soybean oil futures contract prices rose 1.9 percent for the most active month on CBOT, reaching their highest level since July 2025. Previously, futures prices had also seen some gains last week.

According to trade analysts, India is the world's largest importer of edible oils, importing an average of 16 million tons of edible oil annually. This includes palm oil, soybean oil, and sunflower oil, primarily imported from Southeast Asia, Latin America, and the Black Sea region.

India's imports of soybean oil from the United States have been minimal. In the 11 months from January to November 2025, approximately 200,000 tons of soybean oil were imported from the United States.

However, if the new trade agreement provides additional benefits or concessions to the United States, soybean oil imports from there could increase rapidly. This is likely to partially impact exports from competing countries like Argentina and Brazil.