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AWL Agri Anticipates Edible Oil Demand Surge as Prices Drop, Festive Season Nears
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CNBC TV18•25-09-2026, 15:24
AWL Agri Anticipates Edible Oil Demand Surge as Prices Drop, Festive Season Nears
- •AWL Agri Business expects edible oil demand to recover after a slow September, driven by recent import duty cuts and the upcoming festive season.
- •MD and CEO Shrikhant Kanhere maintains a mid-teens edible oil volume growth outlook, expecting September's shortfall to be covered in the next quarter.
- •The government's duty cut reduced effective duties on soya and palm oil to 11% and sunflower oil to 5.5%, with benefits expected to be passed to consumers.
- •AWL Agri maintains its company-level EBITDA guidance of –2,600-2,700 crore, with no significant risk to the target.
- •AWL's food and FMCG business shows strong growth, with 28% volume growth in the previous quarter across various product categories.
Key Questions Answered
The government reduced the effective import duty on soya and palm oil to 11% from 16.5%, while the duty on sunflower oil was cut to 5.5%.
AWL Agri's inventory rose to about 40 days due to sluggish September demand ahead of the announcement, but the company expects inventory to normalize and demand to revive as prices cool for the festive season.
AWL Agri is maintaining its company-level EBITDA guidance of ₹2,600-2,700 crore and expects to deliver mid-single-digit edible oil volume growth for the full year.
