OPDPA (Oil Palm Developers and Processors Association), the nodal agency for Oil Palm development in India, hails the government move of increasing the import duties on Palm Oil. This move serves as a good intervention for making the price of FFBs remunerative to the farmers. This, thereby, gives the Oil Palm farmers a new impetus for cultivating Oil Palm and keeps them insulated from global price fluctuations.
The government has announced a raise of import duty on Crude Palm Oil to 30% from the current 15% and on Refined Palm Oil to 40% from the current 25%. The impact of increase on Crude Palm Oil alone translates to around Rs.70-80 crore extra in the hands of the Indian farmer.
Mr. Sanjay Goenka, President of Oil Palm Developers and Processors Association (OPDPA), said that,” The Government is moving in the right direction by implementing changes in the duty structures that will have a positive impact on the farmer. While this is a welcome move, long term structural and policy changes still need to be introduced to ensure that the industry’s full potential is realized.”
The association is continuing its persuasion with the Government to protect the interests of the Oil Palm farmer by requesting the Government to bring in a strong MSP framework that insulates the farmer from market forces.
Mr. Sanjay Goenka concluded by stating “The oil palm program is of utmost importance to the country as it is a win-win-win situation for the farmers, processors and government. With the success of the Oil Palm program, India can not only suffice its own consumption but also Make in India for the World”