HS Code:
The 'In oil' category, typically falling under HS Code 15 (Animal or vegetable fats and oils and their cleavage products), includes a variety of oils such as palm oil, soybean oil, olive oil, and other edible and industrial oils. This category is critical to global food supply chains, industrial applications, and biofuel production. Trade in this category is influenced by agricultural production capacities, dietary trends, and sustainability concerns.
Total Trade Volume
USD 120 billion
Data from 2022
Source
United Nations Comtrade Database
USD 30 billion
25% of total trade
Increasing
USD 20 billion
16.7% of total trade
Increasing
USD 10 billion
8.3% of total trade
Stable
USD 8 billion
6.7% of total trade
Stable
USD 7 billion
5.8% of total trade
Decreasing
Average Rate
5.2%
Highest Rate
35% (imposed by certain developing countries to protect local industries)
Lowest Rate
0% (under free trade agreements like EU-ASEAN)
Rising demand for sustainable and certified palm oil
Increased production costs but higher market access in Europe and North America due to consumer preference for environmentally friendly products
2021-2022
Growth in biofuel production
Higher demand for vegetable oils like soybean and palm oil as feedstock, driving up prices and shifting trade flows toward energy markets
2020-2022
Shift toward healthier oil alternatives
Increased trade in olive oil and avocado oil, with declining demand for traditional frying oils in health-conscious markets
2019-2022
The EU introduced regulations requiring proof that palm oil imports are not linked to deforestation, affecting major exporters like Indonesia and Malaysia.
June 2023
Potential reduction in EU market share for non-compliant exporters, pushing for sustainable certification.
Indonesia temporarily banned palm oil exports in April 2022 to secure domestic supply amid rising food prices, disrupting global supply chains.
April 2022
Short-term price spikes and trade diversion to Malaysia, with long-term concerns over supply reliability.
Phase One trade deal between the US and China included commitments to increase US soybean oil exports to China, boosting trade volumes.
January 2020
Strengthened US position in the Chinese market, affecting competitors like Argentina and Brazil.