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Energy

India is aggressively pursuing a strategy to boost its oilseed production, marking a significant shift in the country's agricultural landscape. Traditionally, oilseeds have been cultivated during the kharif (monsoon) and rabi (winter) seasons. However, for the first time, a summer sowing initiative has been launched under the National Mission on Edible Oils, with ten states actively participating. This innovative approach is poised to enhance the country's edible oil self-sufficiency and reduce its heavy reliance on imports.
The National Mission on Edible Oils, launched last year, is part of India's ambitious plan to reduce import dependency on edible oils from the current 57% to 28% by 2032. This mission involves significant investments of Rs 10,103 crore aimed at enhancing the production of crucial oilseed crops such as rapeseed-mustard, groundnut, soybean, sunflower, and sesame.
This pioneering effort involves sowing oilseed crops like groundnut, sunflower, and sesame during the summer season (February to June), a period previously unused for oilseed cultivation. States such as Punjab, Haryana, Uttar Pradesh, Madhya Pradesh, Maharashtra, Assam, and Bihar are at the forefront, with some initiating summer sowing for the first time.
A significant aspect of the mission is the creation of oilseed clusters, where farmers are connected with local processors. This strategy allows farmers to sell their produce directly to these processors rather than relying on wholesale markets. Financial incentives are provided for setting up and upgrading post-harvest units through cluster development, facilitating better value realization for farmers.
To protect domestic producers and encourage local cultivation, a 20% import duty has been imposed on edible oils.
While challenges persist, particularly in pulses and oilseeds production, the government's initiatives are poised to propel India's agricultural sector toward significant growth, with projected growth rates of 3.5% to 4% for the 2024-25 year.
Globally, the oilseed market is experiencing shifts due to increased global supplies, which are expected to boost demand for oilseeds, meals, and oils in the coming years. This global trend could further support India's efforts to enhance its domestic oilseed production.
India's summer sowing initiative marks a vital step toward achieving self-reliance in edible oils. By leveraging untapped seasons for oilseed cultivation and enhancing domestic production capabilities, the country is set to make significant strides in reducing import dependency. This strategic move aligns with broader global trends favoring increased oilseed production and consumption, positioning India for success in both domestic and international markets.
With its comprehensive approach, including cluster development, financial incentives, and strategic use of underutilized land, India is poised to capitalize on its agricultural potential and meet the growing demand for edible oils within the country. As the initiative unfolds, it is expected to not only boost economic growth in the agricultural sector but also have a lasting impact on the country's food security and economic independence.