During November-June of the current oil year alone, imports have already exceeded 104 lakh tonnes, with the import bill rising from ₹99,000 crore to ₹1.19 lakh crore, an increase of nearly ₹20,000 crore in just eight months.
With India’s edible oil import bill up over 20 per cent in the first eight months of the oil year 2025-26 (November-October), the Solvent Extractors’ Association of India (SEA) forecasts it to touch ₹1.75 lakh crore by the oil year-end.In his monthly letter to SEA members on Wedensday, Sanjeev Asthana, President of SEA, said India stands at a defining moment in its edible oil journey, and the warning signs are becoming increasingly difficult to ignore.The country’s edible oil import bill, which stood at ₹1.61 lakh crore last year, is now projected to cross an unprecedented ₹1.75 lakh crore this year. During November-June of the current oil year alone, imports have already exceeded 104 lakh tonnes, with the import bill rising from ₹99,000 crore to ₹1.19 lakh crore, an increase of nearly ₹20,000 crore in just eight months (a growth of 20.20 per cent).“This is not merely another statistic; it represents a substantial outflow of precious foreign exchange that could otherwise be channelled into strengthening India’s agricultural infrastructure,” he said.Stating that a weaker rupee has made imports costlier, Asthana said at the same time weather uncertainties, including below-normal monsoon forecasts and delayed sowing in several oilseed-growing regions, are raising concerns over domestic production.He said global developments are adding further pressure. Indonesia’s expanding biodiesel programme is diverting larger quantities of palm oil from food to fuel, tightening global supplies, while geopolitical uncertainties and higher freight and insurance costs continue to keep international edible oil prices volatile.“The net effect is that India may be compelled to import more, and pay considerably more for every tonne. While imports will continue to play an important role, India’s long-term answer cannot lie in importing more — it must lie in producing more,” he said.Monsoon concernsExpressing concerns over the delayed monsoon, he said the South-West monsoon has been uneven this year, with several oilseed-growing regions recording rainfall well below normal.Stating that initial kharif sowing data already reflect this stress, he said groundnut, soybean and sunflower sowing has lagged behind last year’s pace, and overall oilseed acreage has remained substantially lower at 147 lakh hectares as on July 17 compared to 155.7 lakh hectares, down by 8.6 lakh hectares, for the same period of last year.Particular concern is the possibility of weaker rainfall during the critical August-September flowering period, which could adversely affect oilseed yields and further deplete reservoir levels, with implications for the forthcoming rabi season as well.“The silver lining is that sowing delays do not necessarily translate into lower production; historically, acreage has caught up once rainfall improves. The coming weeks will therefore be decisive in determining whether kharif 2026 regains momentum, or whether India faces yet another year of heightened import dependence,” Asthana said.Referring to the recent calls by the Chairman of the Economic Advisory Council to the Prime Minister (EAC-PM), S Mahendra Dev, for incentive-driven crop diversification towards oilseeds and pulses, he said these calls reinforce a direction SEA has consistently advocated.“Diversification succeeds only when farmers find it economically rewarding; better market returns, improved technology, assured procurement, quality seeds and effective extension services must work in tandem to encourage farmers to shift towards oilseed cultivation,” he added.Published on July 22, 2026
