AIRLINK 60.13 Decreased By ▼ -0.57 (-0.94%)
BOP 6.20 Decreased By ▼ -0.10 (-1.59%)
CNERGY 4.59 Increased By ▲ 0.20 (4.56%)
DFML 15.93 Decreased By ▼ -0.26 (-1.61%)
DGKC 69.93 Decreased By ▼ -0.27 (-0.38%)
FCCL 17.92 Decreased By ▼ -0.10 (-0.55%)
FFBL 26.45 Decreased By ▼ -0.05 (-0.19%)
FFL 9.11 Decreased By ▼ -0.14 (-1.51%)
GGL 10.09 Decreased By ▼ -0.21 (-2.04%)
HBL 115.70 Increased By ▲ 0.70 (0.61%)
HUBC 115.52 Decreased By ▼ -0.03 (-0.03%)
HUMNL 6.83 Decreased By ▼ -0.25 (-3.53%)
KEL 4.89 Decreased By ▼ -0.11 (-2.2%)
KOSM 5.50 Increased By ▲ 0.05 (0.92%)
MLCF 38.89 Increased By ▲ 0.06 (0.15%)
OGDC 127.98 Increased By ▲ 2.37 (1.89%)
PAEL 21.61 Decreased By ▼ -0.29 (-1.32%)
PIAA 13.80 Increased By ▲ 1.00 (7.81%)
PIBTL 5.95 Decreased By ▼ -0.27 (-4.34%)
PPL 114.20 Decreased By ▼ -2.30 (-1.97%)
PRL 28.96 Increased By ▲ 0.60 (2.12%)
PTC 12.22 Decreased By ▼ -0.03 (-0.24%)
SEARL 50.47 Decreased By ▼ -1.78 (-3.41%)
SNGP 66.95 Decreased By ▼ -0.75 (-1.11%)
SSGC 11.20 Decreased By ▼ -0.24 (-2.1%)
TELE 8.09 Decreased By ▼ -0.14 (-1.7%)
TPLP 11.44 Decreased By ▼ -0.18 (-1.55%)
TRG 74.52 Increased By ▲ 2.52 (3.5%)
UNITY 23.00 Decreased By ▼ -1.05 (-4.37%)
WTL 1.35 No Change ▼ 0.00 (0%)
BR100 6,770 Decreased By -19.3 (-0.28%)
BR30 22,845 Decreased By -232.4 (-1.01%)
KSE100 65,726 Decreased By -225.7 (-0.34%)
KSE30 22,285 Decreased By -132.2 (-0.59%)

MUMBAI: India's edible oil imports in August rose 5% to a record 1.85 million metric tons as refiners purchased more than 1 million tons of palm oil for the second consecutive month to build stocks for upcoming festivals, four dealers told Reuters.

Higher purchases by the world's biggest importer of vegetable oils could help to lower palm oil stocks in Indonesia and Malaysia and support benchmark futures.

The buying has helped strengthen soybean oil futures and could reduce inventories in sunflower oil-producing Black Sea countries.

India's average monthly edible oil imports in the 2021/22 marketing year were 1.17 million tons, trade body Solvent Extractors' Association of India (SEA) said.

In July, India imported 1.76 million tons, which was also a record high.

Palm oil imports increased from 1.09 million tons in July to 1.12 million tons in August, the highest in nine months, according to average estimates from the dealers.

The SEA is likely to publish its August vegetable oil import data by mid-September.

"Refiners were making aggressive buying for the upcoming festival season," said Rajesh Patel, managing partner at GGN Research, an edible oil trader and broker.

"Retail demand was moderate, but the industry is expecting it would pick up in coming months."

Palm oil falls on weaker rivals oils

Sunflower oil imports jumped by 11.5% from a month earlier to 365,000 tons, the highest in seven months, while soyoil imports edged up 3.7% to 355,000 tons, dealers estimated.

As the discount of palm oil relative to soyoil and sunflower oil continues to widen, refiners are increasing their purchases in anticipation of demand during the upcoming festivals, said Sandeep Bajoria, CEO of Sunvin Group, a vegetable oil brokerage.

India buys palm oil mainly from Indonesia, Malaysia and Thailand, while it imports soyoil and sunflower oil from Argentina, Brazil, Russia and Ukraine.

August imports surged because a few vessels initially intended for unloading in July at Kandla port were eventually offloaded in August due to port congestion, said a New Delhi-based dealer with a global trading house.

Concerns over local soybean and groundnut production due to the dry weather are also prompting refiners to import more edible oils, the dealer added.

India experienced its driest August in more than a century, with the country receiving 36% less rainfall than normal during the month.

Comments

Comments are closed.