Centre Looks Into Palm Plantation Scope in Northeast

By SANJEEB MUKHERJEE

New Delhi, Nov 24 : The government is actively considering to bring in more areas under oil palm cultivation within the country in the next few years to reduce the palm oil import bill. At present, almost 99% of the country's annual palm oil requirement is imported due to low local output.

The government, at a meeting on oil palm cultivation, has decided to explore the possibility of palm plantations in non-traditional areas including Arunachal Pradesh, Bihar, Jharkhand, Patna, Pondicherry, Manipur, Meghalaya and eastern Uttar Pradesh.

It has also decided to impress upon states such as Assam, West Bengal, Tripura and Maharashtra�which have been identified for palm plantation under Oil Palm Development Programme (OPDP), but haven't done so yet�to start taking measures to grow palm if not from this fiscal then from next fiscal. The government is also considering to launch a mission on oilseeds and oil palm to give a special thrust to domestic palm cultivation in the next Five-Year Plan.

Annual edible oil imports have steadily climbed in the last few years to over 8 million tonne, due to rising consumption and stagnant domestic oilseeds production. Palm oil comprises over 80% of the total edible oils imported into India.

Presently, all programmes and schemes related to planting of oil palm are covered under the integrated scheme of oilseeds, pulses, oil palm and maize (ISOPOM).

�Oil palm development programme is progressing at a slow pace and the area coverage is not taking place as per envisaged targets,� it noted. According to government's assessment, only 1.78 lakh hectares have been covered under oil palm plantation till now as against a potential 10.36 lakh hectares. The meeting called for reviewing the subsidy on oil palm cultivation from Rs 15,500 per hectare to Rs 40,000 per hectare and on inputs required for it.

Ever since import of edible oils was brought under the open general licence in 1995, domestic palm oil prices have fluctuated considerably because of its direct linkage to oil markets in Malaysia and Indonesia. Noting this, the meeting which was chaired by agriculture secretary PK Basu decided to recommend the commerce ministry for a review of the import duty and import policy on edible oils. It was also decided to depute a team to Malaysia to consider the possibility of import of germplasm fand and study the technique for direct extraction of refined oil. The states were suggested to utilise funds available under various schemes to bring irrigation facilities for palm plantation.

The meeting also recommended enactment of Oil Palm Act by implementing states on the basis of existing legislation in Andhra Pradesh, Tamil Nadu, Goa and Mizoram. Members at the meeting, which also included representatives from the state government and Indian Council of Agriculture Research (ICAR), suggested diversification of planting material import sources, bridging the seed gap to ensure availability of quality seeds in time. The suggestions made are to be implemented by March 2011 so that recommendations of committees and expert groups can be fed straight into the mission.