Refiners Concerned Over Massive Imports of Refined Edible Oil from Nepal

15-Sep-2026 07:19 PM

New Delhi: Indian refiners are increasingly concerned about the massive influx of duty-free refined edible oils from Nepal, India's northern neighbor, via cross-border road routes. Domestically produced oil is struggling to compete with the low-priced refined edible oil imported from Nepal, even as import volumes continue to rise.

Data from the Solvent Extractors' Association of India (SEA) reveals that 598,594 tonnes of edible oil were imported into India from Nepal during the first 10 months of the current marketing season (November 2025 to August 2026). This volume comprised 28,728 tonnes of RBD Palmolein, 531,557 tonnes of refined soybean oil, 33,881 tonnes of refined sunflower oil, and 4,428 tonnes of rapeseed or other oils.

It is worth noting that Nepal has very low domestic production of oilseeds and edible oil; instead, it imports crude edible oil from abroad, refines it, and subsequently exports the refined product to the Indian market. This refined edible oil is sold on a large scale, particularly in North India, causing harm to the domestic industry.