Cottonseed Oil Market Update

(Advisory Bazaar Info Services)

 Price Surge:

Cottonseed oil prices have increased by ₹400 per quintal over the past month, now reaching ₹12,200/quintal. The price hike is driven by lower supply and rising demand.

Demand Support:

Increased buying interest from vanaspati ghee manufacturers and refined oil processors has supported the market.

Raw Cottonseed Trends:

In Punjab mandis, cottonseed prices rose by ₹200 to trade at ₹4,300–4,400/quintal. Similarly, in Gujarat and Maharashtra, weak selling pressure kept cottonseed oil prices firm.

Decline in Cotton Production:

Cotton output has declined across major producing states like Rajasthan, Haryana, Punjab, Gujarat, Maharashtra, and Telangana. In Punjab, the arrival of raw cotton has almost ceased, tightening cottonseed availability.

Rising Imported Oil Prices:

Due to increased domestic demand, the government has allowed greater imports of edible oils, causing prices of imported soya and sunflower oil to rise.

Market Outlook:

Considering the current supply-demand dynamics, a significant price decline in cottonseed oil appears unlikely in the near term. The market is expected to remain range-bound with limited fluctuations.