Diversified agribusiness company Godrej Agrovet has signed three MoUs (Memorandum of Understanding) with Assam, Manipur and Tripura state governments for development and promotion of oil palm cultivation in the region under the National Mission on Edible Oils, Oil Palm (NMEO-OP) scheme.
As part of the MoU signed, Godrej Agrovet will be allotted land across the three states for promotion and development of sustainable palm oil plantations in the region. The collaboration will bring new opportunities and growth in building oil palm plantations in these three states and will help to provide the required support to the farmers.
Godrej Agrovet is the largest oil palm processor in India and works directly with the farmers for the entire lifecycle of their crop.
The MoUs are in line with Godrej Agrovet’s long-term strategy to be the catalyst in India’s oil mission through sustainable growth of oil palm production and doubling farmers’ income.
In August 2021, the government of India launched the National Mission on Edible Oils – Oil Palm (NMEOOP) with a planned outlay of Rs 11,040 crore. Under this mission, the government has envisaged raising the area under cultivation of oil palm to 10 lakh hectares by 2025-26 and 16.7 lakh hectares by 2029-30 with a special focus on the North East region and the Andaman and Nicobar Islands.
“With more than thirty years of experience in the oil palm business, Godrej Agrovet has been working and educating farmers from the North East on sustainable palm oil plantation processes. Currently, we have around 65,000 hectares under palm oil cultivation across the country, which we plan to increase to 1 lakh hectares in the next few years, Balram Singh Yadav, Managing Director, Godrej Agrovet said.
We are confident that the National Mission on Edible Oils-Oil Palm (NMEO-OP), along with active participation of responsible organisations such as Godrej Agrovet, will lead to bridging the gap in India’s oil mission.”
Sougata Niyogi, CEO – Oil Palm, Godrej Agrovet Limited, added, “We have been invested in promoting and developing the north-east as a growth market for palm oil cultivation for over a decade.”
According to industry estimates, these states have utilised less than 1% of their potential. These states promise enormous opportunities for growth and an increase in the incomes of farming households. With our processing plant in Mizoram, we are prepared to sustainably serve the demand of the northeastern markets.
With the signing of these MoUs (with Assam, Tripura, and Manipur), Godrej Agrovet is confident that these states will play a key role in positively contributing towards the nation’s need for sustainable palm oil growth.
With the vigorous provision of the state governments, we can develop 15,000 hectares in four NSE-4.15 percent states in the next five years.
India is a net importer of palm oil. The lack of domestic production not only puts pressure on the industry and the allied sectors but also on India’s economy. India follows a sustainable model of palm oil plantation which is based on intercropping and scientific farming processes. Most of the palm oil cultivation in the country is done by converting paddy fields, which have been contributing towards surplus produce.