📷 Image: Wikimedia Commons / CEphoto, Uwe Aranas
Business
India Seeks New Palm Oil Suppliers as Indonesia, Malaysia Boost Biofuel Mandates
✍️ Business Standard
🗓 06 Oct 2026, 08:48 AM
👁 12
India is actively exploring alternative sources for palm oil imports due to increased biofuel mandates in Indonesia and Malaysia, which are diverting domestic production for fuel use.
India is currently looking towards new geographical sources for its palm oil requirements. This strategic shift is driven by recent policy changes in the two largest global suppliers, Indonesia and Malaysia.
Both nations have increased their biofuel blend mandates, prioritizing the use of palm oil for domestic fuel production. This move has reduced the volume of palm oil available for export, particularly affecting India, which relies heavily on these countries for its edible oil needs.
As a result, Indian importers and policymakers are reassessing their supply chains to mitigate potential price volatility and supply shortages. The focus is now on diversifying import origins to ensure a stable supply of cooking oil for the domestic market.
This development highlights the growing impact of global energy policies on food security and trade dynamics in the palm oil sector.
Both nations have increased their biofuel blend mandates, prioritizing the use of palm oil for domestic fuel production. This move has reduced the volume of palm oil available for export, particularly affecting India, which relies heavily on these countries for its edible oil needs.
As a result, Indian importers and policymakers are reassessing their supply chains to mitigate potential price volatility and supply shortages. The focus is now on diversifying import origins to ensure a stable supply of cooking oil for the domestic market.
This development highlights the growing impact of global energy policies on food security and trade dynamics in the palm oil sector.