SEA Plans Colombia Visit to Explore Palm Oil Opportunities

The Solvent Extractors’ Association of India (SEA) is planning a high-level delegation visit to Colombia early next year to explore opportunities for palm oil sourcing, trade and cooperation, as India looks to diversify its edible oil supply sources amid changes in the global market.

An MoU between SEA and Colombia’s National Federation of Oil Palm Growers (Fedepalma) is also expected to be signed soon, potentially opening a new chapter in India-Colombia cooperation in the palm oil sector.

The initiative follows a meeting between SEA and a Colombian delegation on the sidelines of SEA’s 55th Annual General Meeting and 29th Globoil in Mumbai. The Colombian delegation was led by Victor Hugo Echeverri Jaramillo, Ambassador of Colombia to India, and Nicolás Pérez Marulanda, Executive President, Fedepalma.

The discussions assume significance as Indonesia and Malaysia, the world’s leading palm oil producers, increasingly divert palm oil towards biodiesel production. This could tighten supplies available for food use and increase the importance of alternative sourcing destinations.

“With Indonesia and Malaysia moving increasingly towards higher biodiesel blending, more palm oil is likely to move from food to fuel. India has to look ahead and explore alternative and complementary sources of supply,” said Dr B V Mehta, Executive Director, SEA.

He said Colombia, with its growing palm oil production and exportable surplus, presents an opportunity for India. SEA has already imported around 200,000 tonnes of crude palm oil from Colombia in recent times.

Colombia produces around 2 million tonnes of palm oil annually and is the largest palm oil producer in Latin America.

“Their invitation to visit Colombia and explore opportunities of mutual benefit is a positive development. SEA is planning the delegation visit early next year,” said Angshu Mallick, President, SEA.

The initiative comes as India has recently reduced import duties on crude edible oils and domestic demand for edible oils gains momentum during the festive season. For SEA, the Colombia engagement is part of a broader strategy to prepare for future supply challenges and strengthen India’s long-term edible oil security.