InfoSAWIT, MUMBAI – Disruptions to sunflower oil exports from the Black Sea region are prompting Indian buyers to increase palm oil purchases as the Russia-Ukraine conflict delays shipments and threatens supplies ahead of the country’s festival season.
A cargo of around 20,000 tonnes of Russian sunflower oil bound for India was cancelled after damage to port infrastructure in the Black Sea region prevented the supplier from fulfilling the shipment. A further 60,000 tonnes of sunflower oil destined for India have also faced delays.
Sandeep Bajoria, president of the International Sunflower Oil Association and chief executive of Mumbai-based Sunvin Group, said cancellations of sunflower oil shipments were unusual in the market.
“Washouts of this kind are rare. But Black Sea infrastructure is now being damaged by the war,” Bajoria said, as reported by Reuters and published by InfoSAWIT on Friday, October 9, 2026.
Baltic Routes Increase Shipping Costs
With Black Sea ports facing disruption, Russian exporters are seeking alternative routes through Baltic Sea ports, including St Petersburg and Ust-Luga.
However, rerouting shipments is increasing transportation costs and extending delivery times.
“Shipments from Baltic ports mean higher freight costs and around 10 additional days of transit time,” Bajoria said.
The delays are adding pressure to India’s vegetable oil supply chain, particularly as the country prepares for a period of stronger seasonal consumption.
India’s Sunflower Oil Stocks Tighten
India is one of the world’s major sunflower oil importers and relies heavily on overseas supplies to meet domestic demand, estimated at around 250,000 tonnes per month.
October arrivals are expected to reach only about 160,000 tonnes, mainly because of loading delays in Russia and Ukraine, according to a New Delhi-based trader.
Stocks have also declined after imports in recent months fell below average levels, prompting buyers to seek alternative vegetable oils.
Palm Oil Purchases Reach 150,000 Tonnes
Trade sources said Indian buyers purchased around 150,000 tonnes of crude palm oil (CPO) in just three days during the week, with deliveries scheduled for November and December through ports on India’s eastern and western coasts.
India imported an average of around 632,000 tonnes of palm oil per month in the period through October 2025.
The increase in Indian buying could provide additional support for the global CPO market, potentially helping absorb supplies from Indonesia and Malaysia, the world’s two leading palm oil producers. (T2)
