India is the world's main supplier of castor oil because it grows most of the world's castor seed, and most of that is grown in Gujarat. Trade estimates put India's share of global castor seed output at a large majority, far ahead of any other country.
The crop is only half the story. India also has a dense cluster of crushers, refiners and derivative plants, and ports set up to ship oil in bulk.
The crop suits the region
Castor grows well in the semi-arid, monsoon climate of north Gujarat and western Rajasthan. It tolerates dry spells better than many crops and fits a farming system where water is limited. It is sown with the monsoon and picked through winter, as covered in the castor seed harvest season.
Farmers in Banaskantha, Mehsana, Patan and Kutch have grown castor for generations. Agricultural research stations in Gujarat have released high-yielding hybrids, which helped lift yields over the decades. Few other regions have this mix of climate, farmer experience and seed development.
A full processing chain
- Seed trading: APMC markets and traders across north Gujarat and Saurashtra move seed to crushers.
- Crushing and extraction: expellers press the seed, and solvent plants recover the remaining oil from the cake.
- Refining and grading: oil is sold as commercial grade, first special grade (FSG), lighter grades and pharma grades.
- Derivatives: plants make hydrogenated castor oil, 12-hydroxystearic acid and other chemicals. See the main uses of castor oil in industry.
- By-products: castor meal is sold mainly as organic fertiliser, and the crusher's income from it affects the oil price.
- Logistics: Kandla (Deendayal) and Mundra handle large volumes of castor oil, in ship tanks, ISO tanks, flexitanks and drums.
Why other countries have not caught up
Castor is grown in Brazil, China, Mozambique and other countries, but on a much smaller scale. The crop needs a lot of hand labour at harvest, and yields fall without good hybrids and management. Building the crushing and derivative industry also takes years. Meanwhile, buyers of castor derivatives tend to stay with a supply chain that already works.
The risk in concentration
When one region grows most of a crop, its weather becomes everyone's problem. A weak monsoon, frost or pest attack in north Gujarat can lift prices worldwide, and there is no large alternative origin to switch to. If castor oil matters to your business, it is worth holding some buffer stock, spreading purchases across the season, and knowing at least two qualified crushers.
Concentration also means many suppliers of uneven quality. Some sellers are traders rather than crushers, so check who actually runs the plant. Our guide on telling a trader from a processor explains how.
How we help
We work in Gujarat and visit castor crushers and refiners in person. We audit the plant, test samples at an NABL-accredited lab and introduce you to the real company, so you can build supply from more than one qualified source. Ask for a free sourcing review.