India's palm oil imports hit 4-month high in Dec

MUMBAI, Jan 3 (Reuters): India's palm oil imports rose in December to their highest in four months as purchases of refined palmolein surged because of competitive prices, five dealers told Reuters on Wednesday.

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

India's December palm oil imports rose 1.9 per cent from the previous month to 886,000 metric tons, estimates from dealers showed. Refined palm oil imports in the month surged 47 per cent to 252,000 tons, they said.

The refining margin for crude palm oil was negative for Indian refiners, while exporting countries were offering refined palm oil at a cheaper price, making it lucrative for buyers, said Rajesh Patel, managing partner at edible oil trader and broker GGN Research.

Landed cost of refined bleached deodorized (RBD) palmolein at Mumbai port was around $25 per ton lower than crude palm oil, dealers said.