According to Reuters, India's palm oil imports surged by 41% in April compared to the previous month, reaching their highest level in three months, driven by easing prices prompting refiners to boost purchases.

The increase in palm oil acquisitions by India, the world's largest importer of vegetable oils, has the potential to bolster benchmark Malaysian palm oil futures FCPOc3, which are currently trading near their lowest point in three months.

Dealers estimate that palm oil imports in April reached 682,000 metric tons.

Rajesh Patel, managing partner at edible oil trader and broker GGN Research, stated that palm oil has become more appealing to buyers due to a recent price correction erasing its premium over soybean and sunflower oil.

Dealers reported that crude palm oil (CPO) imports for June delivery in India are offered at around $920 per metric ton, including cost, insurance, and freight (CIF), while soyoil and sunflower oil are offered at approximately $920 and $945 per ton, respectively. A month ago, CPO was nearly $50 per ton more expensive than rival oils.

Sandeep Bajoria, CEO of Sunvin Group, a vegetable oil brokerage, projected that palm oil imports are likely to increase by around 700,000 tons in May as buyers shift towards palm oil by reducing sunflower oil imports.

According to dealers, the Solvent Extractors’ Association of India (SEA) is expected to release its data on April imports by mid-May.

Dealers mentioned that India's sunflower oil imports in April dropped by 48% from the previous month to 233,000 tons due to port congestion delaying the berthing of several vessels.

In contrast, soyoil imports surged by 79% in April to 391,000 tons, the highest in 10 months, driven by improved refining margins, as per dealers.

They further added that higher imports of palm oil and soyoil raised the country's edible oil imports by 13% to 1.3 million tons.

India primarily purchases palm oil from Indonesia, Malaysia, and Thailand, while soyoil and sunflower oil imports come from Argentina, Brazil, Russia, and Ukraine.