Indian refiners switch to soyoil as palm prices rally
* Palm oil surges a third in a year, narrows discount over soyoil
* Indians switch to soyoil, could reduce palm purchases by 12 pct
* Soyoil imports seen rising to record 4.25 mln T in 2015/16
By Rajendra Jadhav
MUMBAI, Aug 17 (Reuters) - The share of palm oil in India's growing edible oil imports is likely to plunge to a record low this marketing year as a rally in prices slashes its discount over rival soyoil.
That shift in the world's top palm oil importer could drag on benchmark prices for palm oil that have surged around a third in the last 12 months, while bolstering markets for soyoil.
Edible oils are a common ingredient in Indian cuisine, used in everything from curries to samosas, with soyoil seen as more healthy than palm.
"Palm oil discounts are consistently reducing over soyoil. At the current price level, Indian refiners are inclined to switch to soyoil," said Govindbhai Patel, managing director at edible oil trading firm GG Patel & Nihil Research Co.
Palm's discount to soyoil has more than halved to $70 per tonne, from $171 in August 2015, according to data from Mumbai-based trade body the Solvent Extractors Association of India (SEA). Continuación...