Edible Oil Prices Surge in Pune as Iran-Israel Conflict Disrupts Global Supply Chains
Market Yard, 24th June 2025: The escalating Iran-Israel conflict, now involving the United States, has triggered fresh concerns over global supply chains, especially in the edible oil sector. As international demand rises and raw material costs soar, wholesale prices of various cooking oils have increased by ₹3–₹4 per kilogram and ₹50–₹60 per 15-litre tin in Pune’s Market Yard.
Before the onset of war, the central government had reduced import duties by 10%, slightly easing oil prices. However, the recent geopolitical tensions have pushed crude oil prices up by $6 per barrel, directly impacting the cost of soybean, palm, sunflower, and cottonseed oils.
Though current domestic demand is relatively low, traders anticipate further price hikes in the upcoming festive season.
Wholesale Cooking Oil Price Trend (per 15kg/15L Tin)
Type of Oil Previous Price (₹) Current Price (₹) Price Increase
Soybean Oil 1860 2060 ₹50
Palm Oil 1935 2160 ₹50
Groundnut Oil 2200 2400 Stable
Sunflower Oil (13kg) 1980 2130 ₹50–60
Cottonseed Oil 1950 2200 ₹50
Vanaspati Ghee 1850 2200 ₹50
With a decline in coconut production, the price of whole dried coconut (gota khobra) has risen by ₹2–₹3 per kg in the wholesale market. As a result, coconut oil now commands a steep ₹6,000 for a 25-kg tin, leading to significantly reduced supply in the market.
According to Rajkumar Nahar, President, The Poona Merchants’ Chamber, “Due to the war-like situation between Iran and Israel, edible oil prices in Pune’s wholesale market have surged by ₹3 to ₹4 per kg. Given the ongoing tension, prices are unlikely to drop anytime soon.”
