Godrej Agrovet inked MoUs with NE states for oil palm cultivation under NMEO-OP.
Diversified agribusiness company announced on Monday that it has inked three MoUs (Memorandums of Understanding) with the state governments of Assam, Manipur, and Tripura for the development and promotion of oil palm cultivation in the northeast region under the National Mission on Edible Oils-Oil Palm (NMEO-OP) scheme.
Godrej Agrovet is India’s largest oil palm processor, working directly with farmers throughout the crop’s lifespan. The MoUs are consistent with Godrej Agrovet’s long-term goal of serving as a catalyst in India’s oil mission by doubling farmer income via sustainable expansion of oil palm production.
The Government of India started the National Mission on Edible Oils – Oil Palm (NMEOOP) in August 2021, with a budget of? 11,040 Crore. The government intends to increase the area under cultivation of oil palm to 10 lakh hectares by 2025-26 and 16.7 lakh hectares by 2029-30, with a specific focus on the North East region and the Andaman and Nicobar Islands, under this mission.
As part of the agreement, Godrej Agrovet will be given land in all three states to promote and grow sustainable palm oil plantations in the region. The agreement will provide new chances and growth in the construction of oil palm plantations in these three states, as well as help farmers receive the necessary support.
‘With more than thirty years of expertise in the oil palm sector, Godrej Agrovet has been working and training farmers from the North East on sustainable palm oil plantation procedures,’ stated Balram Singh Yadav, Managing Director of Godrej Agrovet. We now have around 65,000 hectares of palm oil cultivation across the country, which we intend to extend to 1 lakh hectares in the next years. We are sure that the National Mission on Edible Oils – Oil Palm (NMEO-OP), in conjunction with the active engagement of responsible organizations such as Godrej Agrovet, would contribute to the completion of India’s oil mission.’
‘We have invested in promoting and expanding the northeast as a growing market for palm oil farming for over a decade, said Sougata Niyogi, CEO – of Oil Palm, Godrej Agrovet Limited. According to industry estimates, these states have only used about 1% of their potential.’
Further, he added that ‘these states provide enormous potential for growth and increased revenue for farming households. We are prepared to service the northeast markets indefinitely thanks to our processing factory in Mizoram. We are convinced that by signing these MoUs (with Assam, Tripura, and Manipur), these states would play a major role in positively contributing to the nation’s need for sustainable palm oil growth. We can develop 15000 hectares in four years with the active participation of state governments.
States during the next five years
India imports palm oil on a net basis. The absence of local manufacturing strains not just the industry and linked sectors, but also the Indian economy. India practices a sustainable palm oil plantation strategy based on intercropping and sophisticated agricultural procedures. The majority of palm oil planting in the nation is done by converting paddy fields that have contributed to surplus yield.