Gandhinagar, Aug 20 With annual production crossing 1,000 metric tonnes of palm oil, Gujarat has emerged as a leading state in the implementation of the National Mission on Edible Oil–Oil Palm (NMEO-OP). Agriculture Minister Raghavji Patel said that more than 150 farmers in Gujarat have adopted oil palm cultivation and are reaping economic benefits.
The state government has so far disbursed Rs 122 lakh in financial assistance to farmers under various components of NMEO-OP since 2021. This includes support for planting material, crop maintenance for four years, inter-cropping, borewells or pump sets, as well as tools for harvesting and mini-tractors.
Officials said planting material of the high-yielding tenera variety is being supplied through approved agencies, while farmers are also being trained in scientific cultivation practices, pest management, and harvesting techniques.
As part of the Mega Oil Palm Plantation Drive, Gujarat has already brought 235 hectares under new plantation this year, and the total area under fresh cultivation is expected to reach 1,000 hectares by the end of 2025.
Over the last decade, farmers in the state have planted oil palm on nearly 5,000 hectares, which has pushed Gujarat to seventh place nationally in palm oil output.
Palm oil is the world’s most widely used edible oil, valued for its long shelf life and affordability. In India, it is widely used in processed foods as well as in household cooking. Beyond food, palm oil derivatives are also critical in biofuels, pharmaceuticals, soaps, shampoos, and cosmetics.
With palm trees yielding fruit for almost 30 years after planting, farmers are ensured long-term, steady income.
Minister Patel said farmers’ fresh fruit bunches (FFB) are purchased by associated companies under buy-back arrangements, with prices linked to international market rates. Officials noted that government subsidies are structured to make oil palm cultivation financially viable.
Farmers receive Rs 20,000 per hectare for domestic saplings and Rs 29,000 per hectare for imported ones. They are also eligible for Rs 42,000 per hectare in crop maintenance support over four years, up to Rs 50,000 for borewells or pump sets, and assistance for harvest tools such as oil palm cutters, motorized chisels, portable ladders, and chaff cutters.
In addition, those cultivating more than 0.5 hectares for over three years can claim up to Rs 2 lakh for mini-tractors and trolleys.
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