The Hindu Business Line : Oilseeds industry urged to take up contract farming

ALTHOUGH efficiency benchmarks in the oilseeds based industry has improved over time, there is still scope for further improvement as competition continues to catch up and business processes continues to evolve, according to Mr R.N.Das, Secretary, Union Ministry of Food and Public Distribution.

He was addressing trade delegates from across the country assembled to estimate the size of kharif 2005 oilseeds crop and review industry and trade issues.

Urging processors to undertake extension work, Mr Das advocated the creation of a symbiotic relationship between the processors and the growers.

"If processors cannot do extension work, they can outsource," he said.

Replying to complaints that large-scale vanaspati imports from Sri Lanka were distorting the market and hurting domestic producers, Mr Das assured the industry that the Government was trying for a ceiling on vanaspati imports from Sri Lanka, adding that in case of free trade agreement with other countries, the case for exempting vegetable oils would be examined.

Mr R.S. Pandey, Additional Secretary, Ministry of Agriculture, and Director, Technology Mission on Oilseeds, pointed out that in commercial crops such as cotton and sugarcane that had industrial application, the processors played a vital role in raw material production.

He wondered why the oilseeds based industry was not looking at contract farming.

The message from policymakers was loud and clear. While issues afflicting the industry would be addressed, the industry itself must take the initiative to go beyond mere trade and price related issues and get into developmental work.

Earlier, Mr Rajesh Agrawal, Chairman, Soyabean Processors Association of India (SOPA), pointed out that in "front line demonstrations" (FLD)in which the host association participated, soyabean yield was as high as 2,000-2,500 kg a hectare versus the commercial average of 1,000 kg/ha. He wanted the gains made in FLD to be extended to commercial cultivation.

Mr Sandeep Bajoria, President, Central Organisation for Oil Industry and Trade, said biodiesel provided a good opportunity for crop diversification. He wanted output of the three major oilseeds — groundnut, soyabean and rapeseed/mustard raised to 100 lakh tonne each from the present average of 60 l.t. each.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Private-public partnership to make transgenic crops affordable

Oilseeds industry urged to take up contract farming

Oceanography Institute inks pact with Pancham Aquaculture

Rubber prices recover on rains

Sahai favours zero sales tax on perishables — Urges 4 pc levy on other food items; issue raised with Finance Ministry

Australia, India to speed up process to resolve farm trade issues