Vegoil imports down 4% on weak demand

Vegetable oil imports dipped four per cent in June to 883,679 tonnes compared with 947,591 tonnes recorded in the same period last year.

The weak demand coupled with inverted duty structure followed by exporting countries such as Indonesia and Malaysia led to the drop in imports.

Edible oil imports were down five per cent at 860,736 tonnes (911,091 tonnes), while that of non-edible oils were down 37 per cent at 22,943 tonnes (36,500 tonnes).

The overall imports in the first eight months of the oil year (November-June) were down at 7,082,220 tonnes (7,145,060 tonnes).

Edible oil, as on July 1, at various ports is estimated at 525,000 tonnes and it consists of 260,000 tonnes of crude palmolein, 60,000 tonnes of refined palmolein, 65,000 tonnes of degummed soyabean oil and 140,000 tonnes of crude sunflower oil. Another 960,000 tonnes of edible oil is in the pipeline.

Total stock, both at ports and in pipelines increased to 1,485,000 tonnes from 1,420,000 tonnes in the previous months.

Refined palmolien prices were down in June at $833 a tonne against $866 in May, while crude soyabean oil increased to $951 from $934 in the same period. Crude palmolien and sunflower oil prices dipped to $841 ($876) and $936 ($942) , respectively.

The rupee depreciated against the dollar to 59.74 in June against 59.28 in May.

Import of non-edible oil in June was at 22,943 tonnes (36,500 tonnes).

The overall import of non-edible oil between November 2013 and June were at 126,388 tonnes (203,140 tonnes), down by 38 per cent. Major non-edible oils that were shipped include palm fatty acid distillate and crude palm kernel oil.

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