Edible oil industry body Solvent Extractors' Association of India (SEA) has emphasised the urgent need to increase domestic oilseed production, adopt modern farming techniques and encourage responsible consumption habits to reduce India’s growing dependence on imported edible oils.
In a communication addressed to members of the industry body, SEA President Sanjeev Asthana expressed concern over the country’s rising edible oil import bill and called for policy support to tackle disruptions arising from the ongoing crisis in West Asia.
Referring to Prime Minister Narendra Modi’s appeal for mindful use of edible oil, Asthana said the message carried significant economic and strategic importance rather than being merely a lifestyle recommendation. “Prime Minister Modi’s call for mindful edible oil consumption is much more than a lifestyle message—it has deep economic and strategic implications,” he said.
Asthana pointed out that India currently imports nearly 60 per cent of its edible oil requirement, making the country highly vulnerable to fluctuations in international prices. Even modest changes in global edible oil prices, he said, result in substantial foreign exchange outflows for the country.
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India imported around 16 million tonnes of edible oils worth nearly Rs 1.61 lakh crore during the 2024-25 marketing year that ended in October. According to the SEA president, temporary or short-term interventions alone would not be enough to address the issue in the long run.
“India’s long-term resilience depends on expanding domestic oilseed production, adopting advanced agricultural practices and promoting more conscious consumption habits. Tightening the belt today is much wiser than facing a preventable crisis tomorrow,” Asthana said.
India’s domestic oilseed output for the 2025-26 crop year (July-June) is estimated at 409.98 lakh tonnes. Asthana further noted that global commodity and freight prices have risen sharply because of multiple international factors, including supply disruptions linked to El Nino conditions, biodiesel mandates in Southeast Asia and continuing geopolitical tensions in West Asia.
He also highlighted that the depreciation of the rupee has significantly increased the landed cost of edible oil imports, adding pressure on India’s foreign exchange reserves and widening the import bill.
In light of the evolving situation in West Asia, Asthana said the SEA has submitted a memorandum to the concerned ministries, drawing attention to challenges such as rising freight and insurance costs, supply chain disruptions, exchange-rate volatility, higher working capital requirements and pressure on domestic edible oil prices.
The industry body has recommended several measures to mitigate the impact, including freight support, priority berthing facilities for edible oil vessels at ports, export incentives for oilmeals and additional working capital assistance for the sector.
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