# Global supply shortfall, higher freight rates may raise edible oil prices

> Indian edible oil prices are expected to rise by mid-year as a global supply shortfall and higher freight rates from the Red Sea crisis affect imports. About 60% of India's edible oil needs are met by imports, and current domestic prices are lower than a year ago.

- Date: 2024-02-29 · published 2024-02-29T12:00:00.000Z
- Category: logistics · region India · magnitude medium
- Page: https://feedsoft.ai/events/9427-global-supply-shortfall-higher-freight-rates-may-raise-edible-oil-prices
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Ocean Grain Freight](https://feedsoft.ai/c/OCEANFRT.md)

## Why it matters

Higher Red Sea freight costs and tighter global supply raise landed costs for vegetable oil imports, supporting higher palm and soyoil prices into India.

## Read by commodity

- SBO: bullish ▲
- PALMOIL: bullish ▲
- OCEANFRT: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2021-09-30 | [Palm oil futures hit all-time high as China rushes to fill soy oil shortage \| S&P Global](https://feedsoft.ai/events/45163-palm-oil-futures-hit-all-time-high-as-china-rushes-to-fill-soy-oil-shortage-s.md) | +9.8% | +12.8% |
| PALMOIL | 2022-11-02 | [Palm oil jumps nearly 5% to 12-wk highs on supply woes - Markets - Business Recorder](https://feedsoft.ai/events/8071-palm-oil-jumps-nearly-5-to-12-wk-highs-on-supply-woes-markets-business-recorder.md) | +2.9% | +0.5% |
| PALMOIL | 2024-01-04 | [Logistics and global dynamics in focus for EU vegetable oil market](https://feedsoft.ai/events/32194-logistics-and-global-dynamics-in-focus-for-eu-vegetable-oil-market.md) | +2.6% | +2.2% |
| PALMOIL | 2023-03-30 | [Sunflower prices in Ukraine are recovering after falling to the lowest level of the season](https://feedsoft.ai/events/36978-sunflower-prices-in-ukraine-are-recovering-after-falling-to-the-lowest-level-of.md) | -1.1% | -4.0% |
| PALMOIL | 2024-09-30 | [Palm Oil News - The Lack of Soyoil in Brazil Made Supply Crisis to Biodiesel Production](https://feedsoft.ai/events/28408-palm-oil-news-the-lack-of-soyoil-in-brazil-made-supply-crisis-to-biodiesel.md) | +9.1% | +9.7% |
| SBO | 2022-12-09 | [High rates of export of oilseeds from Ukraine support purchase prices](https://feedsoft.ai/events/38350-high-rates-of-export-of-oilseeds-from-ukraine-support-purchase-prices.md) | -2.7% | -4.6% |
| SBO | 2026-01-26 | [Ukraine sunflower prices rise sharply amid higher sunflower oil prices - APK-Inform](https://feedsoft.ai/events/12810-ukraine-sunflower-prices-rise-sharply-amid-higher-sunflower-oil-prices-apk.md) | +2.1% | +8.2% |
| SBO | 2021-09-30 | [Palm oil futures hit all-time high as China rushes to fill soy oil shortage \| S&P Global](https://feedsoft.ai/events/45163-palm-oil-futures-hit-all-time-high-as-china-rushes-to-fill-soy-oil-shortage-s.md) | +2.2% | +7.2% |

## Sources

- moneycontrol.com: https://www.moneycontrol.com/news/business/markets/global-supply-shortfall-higher-freight-rates-may-raise-edible-oil-prices-12377251.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.