edible oil
Industry body SEA says India’s edible oil import bill is expected to increase by nine per cent to Rs 1.75 lakh crore during the current marketing year ending in October due to higher import volumes and depreciating rupee. Solvent Extractors Association of India (SEA) President Sanjeev Asthana, in a letter to members, expressed concern over rising import costs and said the oilseed revolution cannot wait any longer. He said that India is at a critical juncture in its edible oil journey, and it is becoming difficult to ignore the warning signs. The country’s edible oil import expenditure, which was Rs 1.61 lakh crore last year, is expected to cross the unprecedented level of Rs 1.75 lakh crore this year.
increase in imports
Earlier this month, SEA had said that India’s edible oil imports increased by seven percent to 103.88 lakh tonnes during the period November, 2025-June, 2026, compared to 97.29 lakh tonnes in the same period of the last oil year. The marketing year of edible oil runs from November to October. Asthana said the import expenditure in the first eight months of the current oil year stood at Rs 1.19 lakh crore, whereas it was Rs 99,000 crore in the same period last year. He said that this is not just another statistic.
This represents a massive outflow of precious foreign exchange, which could have been used to strengthen India’s agricultural infrastructure. Asthana said that imports have become expensive due to falling value of rupee. At the same time, weather uncertainties, including projections of a below-normal monsoon and delays in sowing in many oilseed growing regions, are raising concerns about domestic production, he added.
supply is decreasing
The SEA President said that global developments are also adding further pressure. He said that Indonesia’s growing biodiesel program is diverting a large part of edible oil (palm oil) to fuel, thereby reducing global supply. Additionally, international edible oil prices remain volatile due to geopolitical uncertainties and rising costs of freight and insurance.
The result may be that India may have to import more and pay a higher price for each ton. Asthana stressed on increasing the production of oilseeds in the country, which will help in reducing dependence on imports. Regarding Kharif sowing of oilseeds, SEA said that till July 17, the total sowing area has been very less. The total area of sowing so far is 147 lakh hectares, whereas in the same period last year it was 155.7 lakh hectares.
less chance of rain
Asthana said that the matter of particular concern is the possibility of less rainfall during the crucial period of August-September, when flowers arrive. This may have a negative impact on the production of oilseeds and the water level of the reservoirs may further decrease, which will also impact the coming Rabi season. However, he said that delay in sowing does not always mean less production. The Chairman said that history is witness to the fact that when rains improve, the area under sowing increases. Therefore, the coming weeks will be crucial in deciding whether Kharif 2026 sowing picks up pace or India has to rely more on imports for another year.
