According to the latest report by Expert Market Research (EMR), the India vegetable oil market size reached a volume of 33.52 MMT in 2024, supported by the country’s rising population, increasing disposable incomes, and growing consumption of edible oils in both household and industrial applications. With India being one of the world’s largest consumers and importers of vegetable oil, the market continues to expand rapidly. It is expected to grow at an impressive CAGR of 14.30% between 2025 and 2034, reaching a projected volume of 127.58 MMT by 2034. 

India Vegetable Oil Market Size and Share

The Indian vegetable oil industry is vast and diverse, comprising palm oil, soybean oil, sunflower oil, mustard oil, groundnut oil, and other niche oils. Among these, palm oil accounts for the largest market share, owing to its affordability, widespread use in cooking, and extensive demand from the processed food and FMCG sectors. Soybean oil and mustard oil also hold significant shares, driven by strong cultural preferences and high domestic production levels.

Despite substantial domestic production of oilseeds, India heavily depends on imports—particularly for palm oil and sunflower oil—to meet its rising consumption needs. 

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India Vegetable Oil Market Trends

Several major trends are shaping the Indian vegetable oil market. One notable trend is the increasing consumer shift toward healthier oils, such as rice bran oil, olive oil, and blended oils fortified with vitamins. Growing awareness of nutrition, heart health, and lifestyle-related disorders is encouraging consumers to adopt premium and cold-pressed oil varieties.

Another important trend is the rise of the organized food processing sector, which relies heavily on vegetable oils for snacks, bakery products, confectionery, and ready-to-eat foods. 

Drivers of Growth

The vegetable oil market in India is driven by multiple factors. Rapid population growth, urban migration, and rising income levels contribute to higher household consumption of cooking oils. Additionally, the expansion of HoReCa (Hotels, Restaurants, and Catering) and fast-food chains significantly boosts bulk vegetable oil demand.

The industrial use of vegetable oils—such as in biodiesel, cosmetics, pharmaceuticals, and oleochemicals—is also strengthening the market’s growth trajectory. Increasing efforts to promote fortified edible oils to address micronutrient deficiencies further support market expansion.

India Vegetable Oil Market Forecast

The India vegetable oil market is poised for substantial growth throughout 2025–2034. Rising consumption, greater focus on health-oriented oils, and strong industrial demand will continue to support market expansion. By 2034, the market is forecasted to reach 127.58 MMT, reflecting India’s growing prominence in the global edible oil landscape.