Telangana emerges as India's oil palm hub

Four decades after its launch in Khammam, oil palm puts Telangana on top

Metro India News | KHAMMAM 

Telangana has emerged as the country's leading state in oil palm cultivation, with the crop transforming into a major growth driver for the state's agriculture sector. Agriculture Minister Tummala Nageswara Rao, who pioneered oil palm cultivation in the then undivided Khammam district nearly four decades ago, is widely credited with laying the foundation for the state's success.

Under the National Mission on Edible Oils – Oil Palm (NMEO-OP), Telangana ranks first in the country, accounting for nearly 36 percent of India's total oil palm cultivation. Between 2021 and 2026, Telangana added around 98,112 hectares of oil palm plantations out of the 2.73 lakh hectares brought under cultivation nationwide. The state currently has oil palm cultivation across about 1.16 lakh hectares, with nearly 79,448 farmers growing the crop. Officials describe oil palm as a game changer for Telangana agriculture due to its long productive life, stable returns and growing market demand. With fresh fruit bunch prices touching around Rs 23,852 per tonne, farmers are increasingly shifting towards the crop, which is also considered relatively resistant to pests and adverse weather conditions.

The journey of oil palm cultivation in Telangana began during the tenure of former Chief Minister N.T. Rama Rao, when the first sapling was planted in the erstwhile Khammam district with the initiative of Tummala Nageswara Rao. Since then, cultivation has expanded from a few farmers to several districts across the state. Processing facilities established at Ashwaraopet, Apparaopeta and the recently inaugurated plant at Narmetta in Siddipet district have further strengthened the sector. The state government is now aiming to significantly expand oil palm cultivation in the coming years while boosting processing infrastructure. Farmers believe the crop has improved rural incomes and reduced dependence on imported edible oils, positioning Telangana as a potential national hub for oil palm cultivation.