The Solvent Extractors' Association (SEA) of India, known for its initiatives to support model farms for various crops, has announced its plans to establish model groundnut farms in the states of Madhya Pradesh and Rajasthan. The decision was made during a meeting of the SEA's managing committee on June 16, 2023.
Ajay Jhunjhunwala, President of the SEA of India, emphasized the importance of giving more attention to groundnut cultivation to improve its productivity. Drawing from the success of previous model farm projects for castor and mustard, Jhunjhunwala stated that the committee decided to extend the model farm concept to groundnut.
In order to ensure the successful implementation of the project, Jhunjhunwala called upon stakeholders to provide financial support. He highlighted that contributions towards the project would qualify as corporate social responsibility (CSR) activities under Section 135 of the Companies Act 2013.
Jhunjhunwala also mentioned the positive outcomes achieved through SEA's collaboration with Solidaridad in establishing rape-mustard model farms over the past four years. The increase in productivity resulting from these projects further bolstered the committee's decision to expand the initiative to groundnut cultivation.
Additionally, Jhunjhunwala shared details of the SEA team's meeting with Manoj Ahuja, Secretary of the Ministry of Agriculture and Farmer's Welfare, in New Delhi. Ahuja expressed his appreciation for SEA's efforts in promoting mustard model farms and expressed a keen interest in identifying companies interested in establishing oil palm plantations in the North-East region of India.
He requested the association to prepare a note highlighting the challenges and opportunities in oil palm plantation from the industry's perspective. Furthermore, Ahuja pledged support for a delegation of interested companies to visit the North-East and explore the potential for oil palm cultivation.
Jhunjhunwala also commended the government's recent decision to increase the minimum support price (MSP) for kharif crops. However, he emphasized the importance of the government's commitment to purchasing crops at the MSP to provide farmers with the necessary financial security. At present, rapeseed is being quoted at Rs 5,100 per quintal, falling short of the MSP of Rs 5,450 per quintal. This situation has left mustard farmers feeling discouraged, especially considering that prices were at Rs 7,000-7,500 per quintal during the sowing period.
Similarly, sunflower seed prices in Haryana have fallen below the MSP of Rs 6,400 per quintal, leading to protests by farmers. Jhunjhunwala warned that these circumstances may result in reduced acreage for soybeans during kharif and mustard during rabi, affecting overall oilseed production.
Jhunjhunwala also touched upon the recent visit of SEA's Executive Director, BV Mehta, along with Suresh Motwani, General Manager (Oilseeds) of Solidaridad, and Kailash Singh, Managing Director of Tefla, to Thailand. The purpose of the visit was to gain insights into Thailand's palm oil complex.
Jhunjhunwala revealed that Thai crude palm oil (CPO) producers and exporters are eager to establish direct relationships with Indian importers and refiners. He announced that a delegation from Thailand is expected to attend SEA's annual general meeting and Globoil India event scheduled for September 28-30.
Furthermore, in response to an invitation from the Thai government, SEA plans to send a trade delegation during the last week of August to study Thailand's palm oil complex and foster direct relationships with producers and exporters.
