vegoil imports seen at 5.8 mln T-Mistry

SINGAPORE, Aug 15 (Reuters) - India's vegetable oil imports in the year to October 2007 are likely to be around 5.8 million tonnes, lower than an earlier estimate of 6.4 million tonnes, because of high prices, industry analyst Dorab Mistry said today.

''Per capita consumption has remained stagnant and we have lost almost half a million tonnes in consumption mainly due to high prices,'' he told an industry conference.

''I believe this is a very significant development and will be seen in many more price sensitive markets such as Pakistan, Bangladesh, parts of China and North Africa.'' Mistry, a director at Godrej International Ltd, told Reuters on Monday that Indian vegetable oil imports would be up from last year's 5.4 million tonnes, but high prices would cut the rate of growth in imports this year from earlier expectations.

His comments and weak soyoil prices dragged down Malaysia's palm oil futures 1.6 percent on Tuesday to 2,490 ringgit (6) per tonne.

He said lower import tariffs on edible oil had lifted India's palm oil purchases.

''There is also no longer any preference given to soy oil in terms of import duty. This has led to a bigger market share for palm in India,'' he added. India has brought down edible oil duties in stages and now imposes a 45 percent import duty on crude palm oil and 40 percent on soybean oil. He said monsoon rains had been beneficial for oilseed production in India but it was too early to estimate production.

''The monsoon rains so far have been good and high prices have stimulated oilseed plantings.'' REUTERS SBA VC0832