HS Code:
Cottonseed oil and its fractions (HS Code: 1512.29) refer to edible and non-edible oils extracted from cotton seeds, often used in cooking, food processing, and industrial applications such as cosmetics and biodiesel. The oil is obtained through pressing or solvent extraction and may be further refined or fractionated into different forms. Cottonseed oil is valued for its high content of unsaturated fats and stability in high-temperature cooking. Global trade in this category is influenced by agricultural production capacities, demand for vegetable oils, and regional trade agreements.
Total Trade Volume
Approximately $1.2 billion USD
Data from 2022
Source
United Nations Comtrade Database, International Trade Centre (ITC)
$350 million USD
29.2% of total trade of total trade
Increasing
$280 million USD
23.3% of total trade of total trade
Increasing
$150 million USD
12.5% of total trade of total trade
Stable
$100 million USD
8.3% of total trade of total trade
Decreasing
$80 million USD
6.7% of total trade of total trade
Stable
Average Rate
5.8% ad valorem
Highest Rate
15% (applied by certain South Asian countries)
Lowest Rate
0% (under free trade agreements like USMCA and EU trade deals)
Rising demand for vegetable oils in food processing
Increased exports from major producers like the US and India to meet demand in developing economies
2021-2022
Shift towards sustainable and non-GMO products
Growing preference for certified sustainable cottonseed oil, impacting production practices and trade certifications
2020-2022
Fluctuations in cotton production due to climate change
Reduced supply in some regions, leading to price volatility and shifts in trade patterns
2019-2022
Negotiations to reduce tariffs on agricultural products, including cottonseed oil, between the US and India have gained momentum.
March 2023
Potential increase in US exports to India, one of the largest consumer markets for vegetable oils.
The European Union introduced stricter sustainability criteria for imported vegetable oils, including cottonseed oil, requiring traceability and deforestation-free certification.
January 2023
Increased compliance costs for exporters, potentially reducing trade volumes to the EU in the short term.
Severe drought in key cotton-growing regions of Brazil led to a 10% reduction in cottonseed oil production and exports.
September 2022
Global supply shortages and price increases, benefiting competitors like the US and India.