Sunflower or safflower oil and fractions market in India

Earlier Report Observations

The market volume for sunflower and safflower oils in India experienced notable fluctuations from 2018 to 2023. After a moderate increase from 2.5 million tons in 2018 to 2.6 million tons in 2020, it contracted sharply to 1.9 million tons in 2021, primarily driven by a drop in import volumes. A partial recovery followed in 2022, bringing the market to 2.0 million tons, before a significant surge to 3.2 million tons in 2023, fueled by a substantial rise in imports.

Cultivation challenges, including the spread of diseases like sunflower necrosis and powdery mildew, presented ongoing difficulties for domestic oilseed production. In a major policy shift, the Indian government approved the National Mission on Edible Oils - Oilseeds (NMEO-OS) in 2024, backed by a financial outlay of Rs 10 103 crore. This initiative focuses on achieving self-sufficiency by promoting high-yielding varieties for sunflower and safflower, enhancing extraction efficiency, and increasing import duties on edible oils to encourage domestic demand and production.

Production sunflower or safflower oil and fractions in India

In kind, 2017-2020, t

Between 2017 and 2020, India ranked as the 21st largest producer of sunflower or safflower oil and fractions globally.

Top producers of sunflower or safflower oil and fractions, 2017-2020

World map of production of sunflower or safflower oil and fractions, 2017-2020

India's production of sunflower or safflower oil and fractions grew for the second year in a row. In 2020, the country produced 86 000 tonnes, marking a 6.2% increase from the previous year. Over the 2017-2020 period, production rose by 2.4%, with an average annual growth rate of 0.8%. The lowest output was recorded in 2018 at 80 000 tonnes, which also saw the largest decline of 4.8%.

Annual dynamics of production in India in kind, 2017-2020, t

In value, 2017-2020, M $ US

India's production of sunflower or safflower oil and fractions increased for the second consecutive year. In 2020, the output was valued at 117.1 million US dollars, showing a modest gain of 9.3% compared to the year before. From 2017 to 2020, production grew by 9%, with an average annual growth rate of 2.9%. The lowest value was recorded in 2018 at 102.7 million US dollars, which also experienced the largest decline of 4.4%.

Annual dynamics of production in India in value, 2017-2020, M $ US

Exports sunflower or safflower oil and fractions from India

Exports in kind, K t

Following two years of growth, India's exports of sunflower or safflower oil and fractions declined. In 2020, exports reached 4 000 tonnes, representing a significant decrease of 10.1% from the previous year. Over the 2017-2020 period, exports increased by 12.9%, with an average annual growth rate of 4.1%. The peak was in 2019 at 5 000 tonnes, while the largest increase occurred in 2018 at 15.4%.

Annual dynamics of product's exports from India in kind, 2017-2020, K t

From 2017 to 2020, India's exports of sunflower or safflower oil and fractions were distributed across a diverse range of markets. Singapore accounted for 17.8% of exports in volume, the United Arab Emirates for 13.2%, and Nepal for 12.9%. Together, these three countries made up 44.0% of total exports, with the remaining 56.0% spread among numerous smaller destinations.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from India in kind, 2017-2020

Exports in value, M $ US

After two years of increase, India's export volume of sunflower or safflower oil and fractions fell. In 2020, exports amounted to 6 million US dollars, a 7.5% drop from the previous year. Between 2017 and 2020, exports grew by 20.2%, equating to an annualized rate of 6.3%. The highest value was recorded in 2019 at 6 million US dollars, and the largest increase occurred in 2018 at 15.8%.

Annual dynamics of product's exports from India in value, 2017-2020, M $ US

Over the 2017-2020 period, India's exports in value terms were spread across a wide array of partner countries. Singapore contributed 18.4% of exports in value, Nepal 13.3%, and the United Arab Emirates 11.5%. Combined, these three accounted for just 43.2% of total flows, with the rest distributed among various smaller markets.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from India in value, 2017-2020

Imports sunflower or safflower oil and fractions to India

Imports in kind, K t

India's imports of sunflower or safflower oil and fractions rose for the third consecutive year. In 2020, imports totaled 2 508 000 tonnes, a 2.8% increase from 2019. Over the 2017-2020 period, imports grew by 10.7%, with an average annual growth rate of 3.5%.

Annual dynamics of product's imports to India in kind, 2017-2020, K t

Throughout 2017-2020, Ukraine was the dominant source for India's imports of sunflower or safflower oil and fractions in volume, accounting for 87.1% of total flows. Other countries each held much smaller shares.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to India in kind, 2017-2020

Imports in value, M $ US

In 2020, India's imports of sunflower or safflower oil and fractions amounted to 2 078 million US dollars, a robust rise of 15.7% from the previous year. Between 2017 and 2020, imports increased by 11.3%, equating to an annualized rate of 3.6%. The lowest value was recorded in 2019 at 1 795 million US dollars, which also saw the largest decline of 5.6%.

Annual dynamics of product's imports to India in value, 2017-2020, M $ US

From 2017 to 2020, Ukraine remained the primary source for India's imports in value terms, capturing 87.2% of total flows. The remaining share was distributed across various smaller markets.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to India in value, 2017-2020