Edible oil refining capacity utilisation drops below 50% as imports rise

Small and medium-sized units at risk of complete shutdown as stagnant oilseed production adds to industry's woes

The average capacity utilisation of Indian edible oil refineries has fallen to 46 per cent, declined by half the past five years due to stagnant domestic oilseed production and an increase in vegetable oil imports.

Data compiled by the apex industry body, the Solvent Extractors’ Association (SEA), puts the average capacity utilization of Indian edible oil refineries at 46 per cent, which is a sharp decline from 65 per cent about five years ago. Amid expectations of increase edible oil consumption, Indian oil mills had created 6-7 million tonnes of additional capacity in the last five years to around 33