The Hindu : Tamil Nadu / Chennai News : Reorient policy "to promote oilseeds cultivation"

Online edition of India's National Newspaper
Monday, Nov 06, 2006
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Tamil Nadu

Tamil Nadu - Chennai

Reorient policy "to promote oilseeds cultivation"

Special Correspondent

Centre's position needs to be "monitored"

CHENNAI: Warning against any deviation from the policy of keeping out edible oils/oilseeds from the purview of preferential and free trade agreements, a lead association of the edible oil industry on Sunday underlined the need to reorient agricultural policy to promote oilseeds cultivation.

Though the Union Ministry of Agriculture had said that edible oil/oilseeds would be kept out of the purview of such agreements, the position needed to be monitored, said R. Mansinghka, president, Central Organisation for Oil Industry and Trade (COOIT).

It was necessary to "ensure that there is no deviation or dilution in the policy," he told the 44th All India Convention of Oil Seeds, Oil Trade and Industry that was inaugurated here by Union Minister of State for Finance S.S. Palanimanickam.

Stating that the domestic demand for edible oils was growing relentlessly, he said in the next 15 years it would double. Though imports were inevitable, there had to be a bottom line. Otherwise, the livelihood of farmers and nutritional security would be hit.

Improving productivity per hectare must be the top priority. To do so, the agricultural policy should be reoriented in favour of oilseeds cultivation.

Some of the initiatives that would bridge the demand-supply gap could be to promote oil palm cultivation and tapping the potential of non-conventional sources of vegetable oil, said Mr. Mansinghka.

Mr. Palanimanickam said the government recently had been "concerned with the problem of agricultural production and productivity, which seems to have hit a growth plateau."

Production stagnant

Domestic production of oilseeds remained stagnant at around 24.8 million tonnes, well below the demand.

"There is an urgent need to address this problem," the Union Minister said soliciting suggestions from the COOIT to initiate corrective measures.

Pre-budget discussions

Noting that the government was concerned about the interest of farmers and taking necessary steps to ensure that they do not suffer, Mr. Palanimanickam said his Ministry would launch the pre-budget discussion from Monday.

Tamil Nadu Minister for Food, Civil Supplies, Consumer Protection and Price Control E.V. Velu said the State Government had recently provided sales tax exemption on edible oil.

He read out a message from Chief Minister M. Karunanidhi urging the edible oil manufacturers to ensure availability of the products at affordable prices.

K. Paramasivam, president of Tamil Nadu Oil and Seeds Association thanked the Chief Minister for abolishing sales tax. COOIT chairman Davish Jain spoke.

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