India’s reliance on imported edible oils has intensified, with duty-free refined shipments from Nepal surpassing 800,000 tonnes.
The Indian Vegetable Oil Producers' Association (IVPA) has formally requested an urgent government review of the current trade framework, citing significant adverse effects on the domestic processing sector and agricultural producers.
The surge in Nepalese imports highlights a persistent structural deficit in India’s edible oil market.
As the world’s largest importer of these commodities, India continues to face a widening gap between domestic demand and local production capacity.
The IVPA argues that the current duty-free status for refined oils entering from Nepal undermines local refineries and distorts market pricing, leaving domestic farmers and processors at a competitive disadvantage.
This development underscores the broader vulnerability of India’s food security strategy to cross-border trade dynamics.