India may import more edible oil this year: USDA
Friday, 28 November 2008
New Delhi, Nov 27 (PTI): Declining global prices may prompt India, the leading edible oil importer, to import more vegetable oil during 2008-09 marketing year, according to the US Department of Agriculture forecast.
India may buy 5.4 million tonnes of edible oil in 2008-09 as against 5.3 million tonnes in 2007-08, the USDA projected in its latest report.
The marketing year runs from October to September.
The USDA said, "Higher imports were due to the steady decline in international prices of edible oils in recent months and festival season demand."
Since July, prices of crude palm and soya oil have fallen by 52 and 38 per cent, respectively, it said.
According to the report, India may buy 3 lakh tonnes of palm oil more this year, totalling 4.6 million tonnes. It may limit its soya oil purchases to 6.6 lakh tonnes, down by 24 million (2.4 lakh tones) from the previous year.
"The soya oil forecast is revised down to 6.6 lakh tonnes to reflect the price competitiveness of palm oil over other available oils," it said.
With soya oil selling at a premium of USD 325 per tonne over palm oil, its share in the total edible oil import estimate declined by half to just 14 per cent while that of palm oil rose to 86 per cent, it noted.
India may buy 5.4 million tonnes of edible oil in 2008-09 as against 5.3 million tonnes in 2007-08, the USDA projected in its latest report.
The marketing year runs from October to September.
The USDA said, "Higher imports were due to the steady decline in international prices of edible oils in recent months and festival season demand."
Since July, prices of crude palm and soya oil have fallen by 52 and 38 per cent, respectively, it said.
According to the report, India may buy 3 lakh tonnes of palm oil more this year, totalling 4.6 million tonnes. It may limit its soya oil purchases to 6.6 lakh tonnes, down by 24 million (2.4 lakh tones) from the previous year.
"The soya oil forecast is revised down to 6.6 lakh tonnes to reflect the price competitiveness of palm oil over other available oils," it said.
With soya oil selling at a premium of USD 325 per tonne over palm oil, its share in the total edible oil import estimate declined by half to just 14 per cent while that of palm oil rose to 86 per cent, it noted.