Cabinet Endorses National Mission to Enhance Oilseed Production

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved the National Mission on Edible Oils – Oilseeds (NMEO-Oilseeds), a landmark initiative aimed at boosting domestic oilseed production and achieving self-reliance (Atmanirbhar Bharat) in edible oils.

Aim of the mission

• To increase primary oilseed production from 39 million tonnes (2022-23) to 69.7 million tonnes by 2030-31. To make India self-reliant in oilseed production in the next 7 years.

BackGround

• The country is heavily reliant on imports which account for 57% of its domestic demand for edible oils. 
• To address this dependency and promote self-sufficiency, the Government of India has undertaken a series of measures to enhance domestic production of edible oils, including the launch of National Mission on Edible Oils – Oil Palm (NMEO-OP) with an outlay of Rs 11,040 crore to boost oil palm cultivation in the country in 2021.
• In addition, the Minimum Support Price (MSP) for mandated edible oilseeds has been significantly increased to ensure remunerative prices to the oilseed farmers. 
• The continuation of the Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) ensures that oilseed farmers receive MSP through price support scheme and price deficiency payment scheme. 
• Besides, 20% import duty on edible oils has been imposed to protect domestic producers from cheap imports and encourage local cultivation.

Objective: To boost domestic oilseed production and achieve self-reliance (Atmanirbhar Bharat) in edible oils.

Implementation Period: The mission will be executed over a seven-year span from 2024-25 to 2030-31.

Financial Outlay: The mission has a total financial outlay of Rs 10,103 crore.

Key Goals of the Mission

1. Increase Oilseed Production

• Targeting an increase in primary oilseed production from 39 million tonnes (2022-23) to 69.7 million tonnes by 2030-31.
• Together with NMEO-OP (Oil Palm), it aims to produce 25.45 million tonnes of domestic edible oil, meeting around 72% of projected domestic requirements.

2. Focus on Key Crops

• Enhancing production of key oilseed crops: Rapeseed-Mustard, Groundnut, Soybean, Sunflower, and Sesamum.
• Increasing collection and extraction efficiency from secondary sources like Cottonseed, Rice Bran, and Tree Borne Oils.

3. Adoption of High-Yielding Varieties

• Promoting the use of high-yielding, high oil content seed varieties.
• Extending cultivation into rice fallow areas and promoting intercropping.

4. Use of Modern Technologies

• Harnessing global technologies, including genome editing, for high-quality seed development.

5. Online Seed Plan

• Introduction of an Online 5-year rolling seed plan via the ‘Seed Authentication, Traceability & Holistic Inventory (SATHI)’ Portal.
• States can establish advance tie-ups with seed-producing agencies (cooperatives, Farmer Producer Organizations, government, or private corporations).

6. Seed Production Infrastructure

• Establishment of 65 new seed hubs and 50 seed storage units in the public sector.

Value Chain and Farmer Support

• Development of over 600 Value Chain Clusters across 347 unique districts, covering more than 10 lakh hectares annually.
• Managed by value chain partners (FPOs (Farmer Producer Organization), cooperatives, public/private entities).
• Access to high-quality seeds, training on Good Agricultural Practices (GAP), and advisory services on weather and pest management.

Expansion and Support

• The Mission also seeks to expand oilseed cultivation by an additional 40 lakh hectares by targeting rice and potato fallow lands, promoting intercropping, and promoting crop diversification.
• Support will be extended to FPOs, cooperatives, and industry players to establish or upgrade post-harvest units, enhancing recovery from sources such as cottonseed, rice bran, corn oil, and Tree-Borne Oils (TBOs).

Awareness

• The Mission will promote awareness of recommended dietary guidelines for edible oils through an Information, Education, and Communication (IEC) campaign.

Expected Benefits

• Aims to significantly boost domestic oilseed production, reducing import dependency.
• Contributes to conserving foreign exchange and enhancing farmers’ incomes.
• Promotes low water usage, improves soil health, and utilizes crop fallow areas productively.