India's edible oil imports climb 3% in FY26 as Nepal duty-free shipments surge 113%

SEA data shows imports hit 166.51 lakh tonnes in FY26, up from 161.82 lakh tonnes, with Nepal accounting for 7.36 lakh tonnes under SAFTA's duty-free route. Domestic production still meets only 40% of demand, keeping India structurally import-reliant on a politically sensitive kitchen staple.

— Filed Tue, 19 May, 2026, 12:01 IST · Source ET Small Business · Updated

India's edible oil imports rose 3% to 166.51 lakh tonnes in FY26, driven by a 113% surge in duty-free Nepal shipments under SAFTA. SEA flagged continued import dependence as domestic output meets only 40% of demand.

Why this matters

SEA's FY26 data follows H1 oil year 2025-26 reports of a 19% jump in India's edible oil import bill to ₹87,000 crore, reinforcing growing import dependence and rising Nepal-routed inflows.

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