Lok Sabha Question No. 6028 (UNSTARRED), answered on 2017-04-11
Subject: National Mission on Oilseeds and Oil Palm
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: R. GOPALAKRISHNAN

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO. 6028

TO BE ANSWERED ON THE 11 TH  APRIL, 2017

## NATIONAL MISSION ON OILSEEDS AND OIL PALM

6028.  SHRI R. GOPALAKRISHNAN:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ ष एवं कसान कयाण मंी be pleased to state:

- (a) whether the Government is implementing the National Mission on Oilseeds and Oil Palm in the country;
- (b) if so, the details of the mission and achievements made so far under the mission;
- (c) whether the Government proposes to attract FDI under the mission;
- (d) if so, the details thereof;
- (e) whether this mission aims to benefit the palm growers directly in the country; and
- (f) if so, the details thereof and if not, the reasons therefor?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंालय म राय मंी (SHRI PARSHOTTAM RUPALA)

- (a): Yes,  the  Government  is  implementing  National  Mission  on  Oilseeds  and  Oil  Palm (NMOOP) in the country since 2014-15 to increase production and productivity of oilseeds and area expansion under oil palm.
- (b): The details of the Mission and achievements under the Mission are at Annexure-I.
- (c) & (d): Yes please. 100% FDI is allowed for oil palm and olive plantation. But the same can  only  be  possible  after  declaring  oil  palm  and  olive  as  plantation  crops  by  the  State Governments.  The  Ministry  of  Agriculture  and  Farmers  Welfare  is  consistently  pursuing  the matter with the concerned States to declare oil palm and olive as plantation crops. States like Karnataka, Chhattisgarh, Gujarat, Rajasthan and Maharashtra have given positive response.
- (e) & (f):  The mini mission II of NMOOP directly deals with oil palm area expansion. Oil palm growers are supported for planting materials, maintenance and intercropping for 4 years, pump sets, drip irrigations, vermin-compost, training etc. on oil palm under the Mission. The rate of assistance of various components available under MM-II of NMOOP is at Annexure-II.

## Information in respect of LOK SABHA Unstarred Question no. 6028 regarding National Mission on Oilseeds and Oil Palm (NMOOP)  due for answer on 11-04-2017

## 1. NMOOP

Govt. of India has launched the National Mission on Oilseeds and Oil Palm (NMOOP) programme a Centrally Sponsored Scheme with objective of increasing the production and productivity of vegetable oils  for  domestic uses. The  NMOOP programme comprises of three Mini Missions (MM) one each for Oilseeds (MM-I), Oil Palm (MM-II) and Tree Borne Oilseeds (MM-III), since 2014-15 of 12 th Plan Period. The various interventions of this Mission are implemented through the State Departments of Agriculture/ Horticulture.

## 2. Mini Mission-I (Oilseeds)

In  order  to  arrest  the  decline  in  productivity  of  oilseeds  modern  technologies  like  improved varieties,  ridge-furrow  methods  of  planting,  efficient  water  management  through  drip/sprinkler/water carrying pipes, application of bio-fertilizers including seed treatment with rhizobium and mechanization, inter-cropping  of  oilseeds    with  cereals/  pulses,  eco-friendly  plant  protection  measures  are  being promoted through cluster demonstrations, seed infrastructure, training etc. under the scheme.

MM-I  of  NMOOP  is  under  implementation  in  the  26  States  viz  Andhra  Pradesh,  Bihar, Chhattisgarh, Gujarat, Haryana, Jammu  &  Kashmir, Jharkhand, Karnataka, Madhya Pradesh, Maharashtra,  Orissa,  Punjab,  Rajasthan,  Tamil  Nadu,  Telangana,  Uttar  Pradesh,  Uttrakhand,  West Bengal  and  NE  States  i.e.    Arunachal  Pradesh,  Assam,  Manipur,  Meghalaya,  Mizoram,  Nagaland, Sikkim, and  Tripura. However, Mizoram and Sikkim are not implemented the programme during 201617.

The efforts under the Mini Mission has resulted the increase of area under oilseeds from 255.96 lakh ha. in 2014-15 to 266.34 lakh ha. during 2016-17.  The production of oilseeds has also increased from 275.11 lakh tonnes in 2014-15 to 335.96 lakh tonnes during 2016-17. Similarly, the yield of oilseeds recorded  1075  kg.  per  hectare  in  2014-15  to  1261  kg.  per  hectare  in  2016-17  (as  per  2 nd Advance Estimates).  The  production  fluctuates  due  to  weather  aberrations  and  low  moisture  availability  at  the time of sowing.

## 3. Mini Mission-II (Oil Palm):

The Oil  Palm  programme is implemented in 12 states viz; Andhra Pradesh, Karnataka, Tamil Nadu,  Odisha,  Telangana,  Kerala,  Gujarat,  Chhattisgarh,  Assam,  Arunachal  Pradesh,  Nagaland  and Mizoram.

The developmental efforts have resulted in area expansion under oil palm from 8585 ha in 199192 to  3.00  lakh  ha  by  the  end  of  2015-16.  Similarly,  the  Fresh  Fruit  Bunches  (FFBs)  production  and Crude Palm Oil (CPO) have increased from 21,233 MT and 1,134 MT respectively (1992-93) to 12.83 lakh and 2.17 lakh MT respectively during the year 2015-16.

The area expansion of oil palm under NMOOP during last three years is given below:

| Year     | Area expansion under oil palm (ha)   |
|----------|--------------------------------------|
| 2014-15  | 17,143                               |
| 2015-16  | 14,425                               |
| 2016-17* | 13,890                               |

## 4. Mini Mission-III - Tree Borne Oilseeds (TBOs)

Assistance  under  MM-III,  is  provided  to  promote  11  TBOs  namely  Simarouba,  Neem,  Jojoba, Karanja, Mahua, Wild apricot, Cheura, Kokum, Jatropha, Tung and Olive having capability to grow and establish in varied agro-climatic conditions as well in the waste land of the country. These TBOs possess 20-60% oil content in seeds/ kernel, which are edible fat and non-edible for industrial uses.   Once they are planted, they continue to yield for about 60-150 years starting after gestation period ranging from 2 yrs to 8 yrs without requiring much input in the later stage.

During  the  period  of  2014-15  to  2016-17,  the  Mini  Mission-III  is  implemented  in  12  states  viz; Arunachal  Pradesh,  J&K,  Madhya  Pradesh,  Meghalaya,  Maharashtra,  Mizoram,  Nagaland,  Odisha, Rajasthan, Tamil Nadu, Tripura and Uttar Pradesh.

## Pattern of Assistance for Oil Palm under MM-II (NMOOP)

|   SL. No. | Components                                                   | Rate of Assistance                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|-----------|--------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         1 | Planting Material                                            | 85% of the cost of planting material limited to Rs.8, 000/- per ha for entire land holding of the farmer.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|         2 | Maintenance Cost                                             | 50% of the cost during gestation period for 4 years with a ceiling of Rs 16, 000/- per ha. Illustrative Assistance: 1 st year - Rs 4000/ha 2 nd year - Rs 4000/ha 3 rd Year - Rs 4000/ha th                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|         3 | Drip Irrigation                                              | As per National Mission for Sustainable Agriculture (NMSA) Guidelines.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|         4 | Distribution of Pump Sets                                    | The support for distribution of Diesel/Petrol/electric pump sets of capacity up to 10 HP to farmers @50% of the cost limited to Rs 15, 000/- per pump set as per the norms of SMAM. The distribution of pump set could be in addition to the drip irrigation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|         5 | Bore well at Oil Palm farm/ water harvesting structure/ponds | The assistance as per the NMSA guidelines i.e. for construction of bore wells/ tube wells, assistance @ 50% limited to Rs 25,000/- per unit subject to condition that these are not installed in critical, semi-critical and over exploited ground water zones. In case of water Harvesting structures/ponds/tanks for individual farmer, 50% of cost (construction cost - Rs 125 for plain/ Rs 150 per cubic meter for hilly areas) limited to Rs 75,000/- for plain areas and Rs 90,000/- for hilly areas including lining is proposed under NMSA. For smaller size of the ponds/dug wells, cost admissible on pro rata basis. Cost for non-lined ponds/tanks will be 30% less and assistance will be given @ 50% of the cost limited to Rs 50,000/ dug-well/ponds/water harvesting tanks/ structures                                                                                                                                                                                                                                                                                                                |
|         6 | Establishment of Seed Gardens                                | Support through the states' Department of Agriculture/Horticulture as under: (i) Need based assistance for maintenance/ strengthening of existing seed gardens. (ii) Setting up of new seed gardens in Andhra Pradesh, Gujarat, Karnataka, Mizoram, Orissa & Tamil Nadu (Recommended by Chaddha Committee) or other suitable state. The State Governments may also setup/ start joint venture/lease out seed gardens to farmers' Self Help Groups/FIGs/ Women Group/Cooperative Societies/FPOs. (iii) One time assistance for a maximum amount Rs 10.00 lakhs as subsidy for setting up a new seed garden in 15 ha area by Oil Palm farmers association/co-operative etc. through State Government could be provided within the State AAP. (iv) The seed garden may be developed over an area of 15 ha each as a Revolving fund Scheme with the assistance of Rs 30.00 lakhs, with a breakup of Rs 10 lakh in the first year and Rs 2 lakh each for 2 nd ,3 rd ,4 th ,5 th and 6 th year. In 7 th year, a block grant of Rs 10 lakh be provided. From 8th year onwards the scheme is likely to become self Supportive. |
|         7 | Inputs for Intercropping in oil palm                         | Through the States' Department of Agriculture/Horticulture for intercropping in Oil Palm fields 50% of the cost limited to Rs 3000/ha for purchase of seeds / fertilizers / INM/IPM / fertigation /tree guards and PP chemicals etc (75% funds for procurement of fertilizers/seeds and 25% for production/protection inputs for inter crop fields) within the AAP of the State during first to fourth year of plantation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|         8 | Construction of vermi-compost units at Oil Palm fields       | Support to State Department of Agriculture/Horticulture @50% of the cost limited to Rs 15,000 unit of 15 meter length, 0.9 meter width and 0.24 meter depth at Oil Palm field/garden of the farmers. The dimension of vermi- compost production could vary as per the recommendation of ICAR/SAUs within the cost approved under any scheme of the Government of India/State                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |

|   9. | Machinery & tools                                                                                      | Assistance up to 50% of the cost and up to the amount for equipments/tools as provided under to state Department of Agriculture/Horticulture: (i) Manually handled/high reach Oil Palm cutter-Rs 1500/- per unit, (ii) Motorized Chisel-Rs 10,000/- per unit (iii) Oil Palm protective wire mesh-15,000/- per unit, (iv) Aluminum portable ladder- Rs 3,000/-per unit (v) Chaff cutter for chaffing of Oil Palm leaves (Oil Palm farmers only) - Rs 7,000/- per unit. (vi) Small tractor up to 20 HP along with trolley: 25% of the cost of procurement subject to a ceiling of Rs 0.75 lakh. Additional 10% assistance to SC / ST / Small / Marginal Farmers/Women, Groups >5 members FPOs and NE States to a ceiling of Rs 1.00 lakh per unit. (vii) Any other Machinery recommended by ICAR/SAUs which is useful for Oil Palm growers could be included under local initiatives/contingency under AAP. (viii) Import of machinery viz; mechanical sprayer for young Oil Palm fields, mechanical Oil Palm harvesting machine, compact FFBs transporter/ sprayers etc with specific approval of standing committee of NMOOP.                                                                                              |
|------|--------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   10 | Special component for NE/Hilly States/LW Areas/regions including support for Oil Palm processing units | In order to provide a complete package for Oil Palm development, support to States' Department of Agriculture/Horticulture as under: (i) 50% of the actual cost estimated by PWD/CPWD limited to 20% of total outlay of the state under AAP for MM-II Oil Palm for roads from oil field to nearest FFB collection/ processing centre. (ii) 50% of the cost limited to Rs 250.00 lakh for a unit of 5.00 MT/Hr for newly planted Oil Palm areas to the State Government agencies/Cooperative sector/Government Recognized Farmers Associations through State Governments on the proposals approved by the State Government to protect Oil Palm plantation and back-ended subsidy through banks for plant and equipments only as per approval of State Government for setting up of a mill where sufficient area to run a mill of 5.00 MT/hr capacity is under production of FFBs at the sole discretion of the Government of India depending on the resources availability in the Mission and the policy adopted time to time. (iii) Subsidy will also be given for addition of capacity of crushing of FFBs at least by 1 MT/Hr @25% of the cost limited to Rs 25.00 lakh to existing units of State Government/Government |
|   11 | Farmer's Training                                                                                      | agencies based on the discretion as elaborated in para above. Rs 24,000/- per training for a batch of 30 farmers for 2 days (@ 400/- per participant per day)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   12 | Training of Extension Workers/Officers/inp ut dealers                                                  | Input dealers included. Rs 36,000/- per training for a batch of 20 officers for 2 days. (@900/- per participant per day).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|   13 | Demonstrations                                                                                         | Support to the State Department of Agriculture/Horticulture as under: (i) 5 demonstration of 1 ha each in a block of new plantation of 500 ha or above being taken up on farmer's field. (ii) Assistance for demonstration in a new Oil Palm Block/district will be provided through State Department of Agriculture/ Horticulture @85% of the cost of planting material limited to Rs 10,000/- per ha for planting material and maximum @ 50% of the maintenance cost during gestation period of demonstration field for 3 years with a ceiling of Rs 14,000/- per ha. The illustrative break up of gestation period assistance for 3 years of new plantations under demonstration starting from the 2 nd year of new plantation is given @ Rs 3500/ha Rs 4500/ha Rs 6000/ha in 2 nd ,3 rd ,& 4 th years respectively. Balance cost, if any, on planting material, cultivation and other expenditures may be met either by the farmer or State Government.                                                                                                                                                                                                                                                                |

|   14. | Research & Development (R & D) Schemes                                                                                                                                  | Need based support will be given for ongoing schemes by ICAR for maintenance of existing seed gardens & ongoing schemes viz; leaf analysis lab, training of staff/officers and testing of genotype etc as approved in X th and XI th plan period on project basis by the Department of Agriculture & Cooperation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|-------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    15 | Training infra- structure support to ICAR                                                                                                                               | Need based support to the ICAR Institutes on projects basis to strengthen training infrastructure for Oil Palm growers/farmers.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|    16 | Local Initiatives, Contingency including monitoring& evaluation and Operational costs including consultant services. Exposure visits of farmers/Seminar/ Conference etc | The respective implementing States will be allowed to utilize 1.0 % of the total allocation under MM-II on Oil Palm for contingency including monitoring & evaluation and Operational Costs including consultant services in the Annual Action Plans of Mini Mission -II on Oil Palm. The following activities will be covered under this intervention - 1. Publicity under Mini Mission-II on Oil Palm and exposure visits (inter and intra state) of farmers and/officers/Seminar/Conference /Workshop/ Mela etc. 2. Contingency: States will be allowed to engage state level consultants/supporting staff as Technical Support Group (TSG) on contractual basis. Hiring of vehicles/ Monitoring of scheme/attending workshop/ meetings. Purchase of vehicles will not be allowed. No permanent post will be created under the Mission. 3. Organizing workshop/Seminar/Conference etc by States on Oil Palm & its technologies. Support for use of ICT. 4. Concurrent/Mid Term and end of the plan period evaluation of Mini- Mission Components by an independent agency. 5. Any other component on increasing production/productivity of palm oil in state as state specific local initiative which may be crucial for effective implementation & adoption of best practices in increasing production and productivity of palm oil under the Programme and not covered as an intervention of the MM-II with the approval of GOI in their AAPs. The State may include such interventions with subsidy not more than 50% of the cost of the item/ services. |

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