India's oilmeal exports to China surged over 20-fold to 7.79 lakh tonnes in the first eleven months of this fiscal, following higher demand due to lower prices compared to competitors, according to industry body SEA data.
India's oilmeal exports to China surged over 20-fold to 7.79 lakh tonnes in the first eleven months of this fiscal, following higher demand due to lower prices compared to competitors, according to industry body SEA data.
Solvent Extractors' Association of India (SEA), however, said the exports could face a challenge going forward.
India exported 7,79,016 tonnes of oilmeals, mainly rapeseed meal, to China during April 2025-February 2026 against 38,240 tonnes in the corresponding period of the preceding financial year.
China imported 7,71,435 tonnes of rapeseed meal and 7,581 tonnes of castorseed meal during the first eleven months of this fiscal.
SEA Executive Director BV Mehta attributed the surge in exports to competitive pricing against European suppliers.
Indian rapeseed meal is currently priced around $225 per tonne (FOB/FAS Kandla), making it cheaper than rapeseed meal Hbg ex-mill at $297 per tonne, he said.
"In March 2025, China imposed a 100% tariff on Canadian rapeseed meal and oil in retaliation for Canada's tariff on Chinese electric vehicles. These duties made Canadian exports economically unviable, forcing China to look to other suppliers, and India was the main beneficiary to bridge the supply gap," Mehta said.
However, as of March 1, 2026, China has suspended these 100% tariffs on Canadian Canola (rapeseed) meal, lasting until December 31, 2026.
As a result, Mehta said exporters of Indian rapeseed meal would face tough competition to retain the Chinese market.
Meanwhile, the SEA reported that India's total oilmeals exports fell 22% in February to 2,57,961 tonnes compared to 3,30,319 tonnes in the same month last year.
The overall export of oilmeals during the first eleven months of this fiscal declined 11% to 34,93,823 tonnes compared to 39,33,349 tonnes in the corresponding period of the preceding fiscal.
"The escalating conflict between the United States/ Israel and Iran has significantly disrupted India's oilmeal exports, particularly to the Middle East and Europe, due to instability around the Strait of Hormuz and the Red Sea," SEA said.
Around 20% of India's oilmeal exports, destined for West Asia, and 15% destined for Europe, are at risk due to logistics and shipping disruptions, the association added.
"Shipping companies are avoiding the Red Sea and the Strait of Hormuz, causing detours that increase transit times and costs, which threatens the continuity of oilmeal exports to the Middle East and Europe," Mehta said.
The forced detour around the Cape of Good Hope adds 10–15 days to shipping journeys, causing delays and container shortages, SEA said.
The industry body expressed concern that sustained conflict would continue to hinder shipments, affecting agricultural, including oilmeals, items' export competitiveness in its key markets.