India’s Rising Edible Oil Consumption: A Challenge to Health and Sustainability

India’s per capita edible oil consumption has tripled in 20 years, rising from 8.2 kg in 2001 to 23.5 kg in 2023, double the recommended limit. This surge, driven by changing diets and processed foods, has heightened health risks like obesity and diabetes. India imports nearly 60% of its edible oil, with palm oil dominating the market. To reduce dependence, the government launched initiatives to boost domestic production. Prime Minister Modi also advocates reduced oil intake for a healthier population.

India's per capita edible oil consumption has witnessed a dramatic surge over the past two decades, nearly tripling and raising significant concerns about public health and the nation's dependence on imports. This trend, documented in a recent report, underscores growing challenges related to obesity, non-communicable diseases, and the widening demand-supply gap in the edible oil sector.

A Steep Climb in Edible Oil Usage

In 2001, the average Indian consumed just 8.2 kilograms of edible oil annually—a figure that has since skyrocketed to 23.5 kilograms per person per year. This is nearly double the 12-kilogram limit recommended by the Indian Council of Medical Research (ICMR). The rise has been attributed to changing dietary patterns, increased consumption of processed foods, and a shift towards oil-heavy diets in both urban and rural areas.

Acknowledging this alarming trend, the government has launched initiatives to bolster domestic edible oil production. Ramesh Chand, a member of Niti Aayog, highlighted the efforts under the National Mission on Edible Oils, which prioritizes increased output from both traditional oilseeds and palm oil plantations.

Heavy Reliance on Imports

Despite these measures, India continues to rely heavily on imported edible oils. According to the Solvent Extractors’ Association of India (SEA), the country consumes approximately 25–26 million tonnes of edible oil annually, while domestic production meets only 11 million tonnes of this demand. As a result, nearly 60% of India’s edible oil needs are met through imports.

Palm oil, imported from Indonesia and Malaysia, dominates the market, while soybean oil and sunflower oil are sourced from Argentina, Brazil, Russia, and Ukraine. The import of crude soybean oil, in particular, has seen a sharp rise, doubling to over 1.9 million tonnes between November 2024 and March 2025 compared to the same period the previous year. Total edible oil imports for 2023–24 reached 16 million tonnes, further emphasizing India’s growing dependence on international markets.

Changing Consumption Patterns

Palm oil has emerged as the most consumed edible oil in India, accounting for over 37% of the total market share. It is followed by soybean oil (20%), mustard oil (14%), and sunflower oil (13%). The demand for edible oil is particularly high in the HoReCa (hotels, restaurants, and catering) sector, driven by increasing out-of-home dining, the popularity of ready-to-eat meals, and the growth of the bakery industry.

However, this surge in consumption has not been limited to urban areas. Smaller cities and towns are also experiencing a rise in oil-rich diets, contributing to a spike in health issues.

Public Health Concerns

The growing consumption of edible oils has led to widespread health concerns. Diets rich in oil—whether home-cooked or commercially prepared—are associated with an increased risk of obesity, cardiovascular diseases, fatty liver, and type-II diabetes. These health issues are no longer confined to major metropolitan areas but are now affecting residents in Tier-II and Tier-III cities as well.

Government Initiatives to Reduce Import Dependence

In response to these challenges, the Indian government has intensified efforts to achieve self-sufficiency in edible oil production. In October 2024, it approved the National Mission on Edible Oils–Oilseeds (NMEO–OS) with a budget of ₹10,103 crore. This initiative aims to boost oilseed production from 39 million tonnes in 2022–23 to 69.7 million tonnes by 2030–31. The mission complements the National Mission on Edible Oils–Oil Palm (NMEO–OP), which was launched in 2021 with an outlay of ₹11,040 crore.

A Call for Healthier Lifestyles

Prime Minister Narendra Modi has also stressed the importance of reducing oil consumption as part of a broader effort to improve public health. On World Liver Day, he endorsed a commitment from Union Health Minister JP Nadda to cut oil intake by 10%. Modi urged citizens to adopt simple lifestyle changes to combat obesity and other lifestyle-related diseases, emphasizing that small steps can lead to significant health benefits.

India’s rising edible oil consumption highlights a dual challenge: the need to address public health issues while reducing reliance on imports. Through government initiatives focused on boosting domestic production and public awareness campaigns advocating healthier lifestyles, the country aims to strike a balance between meeting rising demand and fostering sustainability.