 "Castor oil export may dip by about 15%")
Reduced demand from China for castor oil may bring down India's exports in 2014 by 15 per cent. Castor oil was among the top ten items exported to China in 2012 and 2013 and the country accounts for 35 per cent of India's castor oil exports.
Estimates suggest India, which produces around 800,000 tonnes of castor oil and derivatives, ships over 60 per cent of the total production to other countries.
"We are expecting to export only about 400,000 tonnes of castor oil from the country as against 479,000 in 2013 on account of less demand from China, which is the main export destination for castor oil," said B V Mehta, executive director, Solvent Extractors Association of India (SEA).
SEA said India exported around 360,000 tonnes castor oil from January to October 2014 and the association estimates to add export of another 40,000 tonnes by end of December.
The industry has changed the marketing year from April-March to January-December as crop cycle has changed in the past two years.
From being used as a purgative in India in the past, castor oil finds use in manufacture of jet engine lubricants, nylon, brake fluids, paints, resins, plastics, telecom, pharmaceutical, electronics, and cosmetics. It is also used as a bio-fuel in countries like Brazil and as manure.
According to the International Castor Oil Association (ICOA), it is the only commercial source hydroxyoleic acid, which is used to make several medicines.
Estimates suggest India, which produces around 800,000 tonnes of castor oil and derivatives, ships over 60 per cent of the total production to other countries.
"We are expecting to export only about 400,000 tonnes of castor oil from the country as against 479,000 in 2013 on account of less demand from China, which is the main export destination for castor oil," said B V Mehta, executive director, Solvent Extractors Association of India (SEA).
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According to SEA, India's exports of castor oil and derivatives are estimated at around $800 million. Apart from China, Thailand, Japan and European countries are the major destinations where castor oil is exported.
SEA said India exported around 360,000 tonnes castor oil from January to October 2014 and the association estimates to add export of another 40,000 tonnes by end of December.
The industry has changed the marketing year from April-March to January-December as crop cycle has changed in the past two years.
From being used as a purgative in India in the past, castor oil finds use in manufacture of jet engine lubricants, nylon, brake fluids, paints, resins, plastics, telecom, pharmaceutical, electronics, and cosmetics. It is also used as a bio-fuel in countries like Brazil and as manure.
According to the International Castor Oil Association (ICOA), it is the only commercial source hydroxyoleic acid, which is used to make several medicines.