Growing Interest from the Corporate Sector in Oil Palm Cultivation

04-Aug-2026 07:14 PM

Hyderabad. Rising global market prices for edible oils—particularly palm oil—have significantly increased import costs for India, compelling local processing units to regulate import volumes. Consequently, there is an urgent need to boost the domestic production of oilseed-based oils.

Recognizing this need, the corporate sector has stepped up its involvement. Reports indicate a significant rise in domestic palm oil production over the past two years. Prominent corporate entities—such as Godrej Agrovet, Patanjali Foods, and 3F Oil Palm—are showing keen interest in expanding palm plantations. This expansion is being driven by a collaborative model involving three stakeholders: the government, farmers, and the corporate sector.

Under the 'National Mission on Edible Oils – Oil Palm' (NMEO-OP), backed by central government financial support of ₹11,040 crore, approximately 3 lakh hectares of oil palm plantations have been established over the last five years, against a target of 6.50 lakh hectares.

These commercial palm plantations have been set up in states such as Andhra Pradesh, Telangana, Karnataka, Kerala, Odisha, Assam, Chhattisgarh, Gujarat, and Tripura. Both the government and major companies are making concerted efforts to establish new palm plantations, which is expected to lead to a substantial increase in domestic palm oil production in the coming years.