Govt Approves $1.2 Bn Initiative To Double Edible Oil Production, Reduce Imports
India has launched a 101 billion rupee (USD 1.2 billion) programme to double domestic edible oil production by 2030-31. The initiative aims to reduce dependence on imports, which currently fulfill nearly two-thirds of the nation’s edible oil demand, primarily from countries like Indonesia, Malaysia, and Brazil. Key strategies include promoting high-yielding oilseed varieties, expanding cultivation, and employing genome editing technology.
India has unveiled a bold 101 billion rupees (USD 1.2 billion) programme aimed at doubling its domestic edible oil production over the next seven years.
The initiative seeks to slash the country’s dependence on costly imports, which currently account for nearly two-thirds of its edible oil consumption. As the world’s largest importer of edible oils, India sources palm oil, soyoil, and sunflower oil primarily from Indonesia, Malaysia, Argentina, Brazil, Russia, and Ukraine.
The government’s plan includes increasing oilseed productivity through the promotion of high-yielding, high-oil content varieties and expanding the cultivation of oilseeds. Advanced technologies such as genome editing will be employed to develop superior seeds that are expected to boost yields. The goal is to raise domestic edible oil production from 12.7 million metric tons to 25.45 million tonnes by the 2030-31 period, meeting approximately 72 per cent of the country’s future edible oil demand.
India’s reliance on imported edible oils has significantly strained its economy, with the import bill skyrocketing from USD 2.2 billion in 2006/07 to USD 15 billion in 2023/24. Over the same period, the country’s edible oil imports have grown from 4.37 million tonnes to 15.5 million tonnes.
In an effort to protect domestic farmers who have been grappling with low oilseed prices, the government recently raised the basic import tax on crude and refined edible oils by 20 percentage points. The new programme is expected to reduce the burden on India’s import bill while supporting local farmers and enhancing food security.
Source Link : https://businessworld.in/article/govt-approves-12-bn-initiative-to-double-edible-oil-production-reduce-imports-535199
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