The Hindu Business Line : Crop estimate: Edible oil body joins issue with Govt

Chennai, Feb. 11 The Central Organisation for Oil Industry and Trade (COOIT) has joined issue with the Union Government over the second advance estimate made for the oilseeds crop. In particular, the organisation, an umbrella for the edible oil sector, has disputed the production estimates for rapeseed/mustard made by the Ministry of Agriculture.

“The estimate, prima facie, seems unrealistic and over-optimistic, if we consider its own sowing figure of 59.82 lakh hectares,” said COOIT in a press release.

Pointing out to the report of the Directorate of Oilseeds, it said till February 8 rapeseed/mustard had been sown in 59.82 lakh hectares (lh) against last year’s 66.68 lh, with a major shortfall of coverage in Rajasthan.

“Even the total coverage under oilseeds show a shortfall of 8.16 lh,” it said, disputing the Centre’s crop estimates.

The rapeseed/mustard crop output has been pegged at 70.7 lakh tonnes against last year’s 74.7 lakh tonnes by the Centre.

Damage factors

“Trade estimates of yield vary from place to place. However, a 70.7-lakh tonnes mustard crop would mean a yield close to 1.2 tonnes per hectare, which is highly unlikely,” COOIT said. Its contention is mainly based on recent damage reported from major mustard-growing areas owing to a cold spell.

The total oilseeds output during 2007-08 has been pegged by the Centre at 271.6 lakh tonnes against 242.9 lakh tonnes, with gains coming mainly from a record 94.4 lakh tonnes soyabean and a higher groundnut crop.

But the industry is of the view that despite a higher soyabean and groundnut crop, overall oilseed production this year would be lower compared with last year. “This is mainly in view of an anticipated rapeseed/mustard crop,” industry sources said.

Rapeseed/mustard is the main rabi oilseed crop and any sharp fall in its production is seen affecting the oilseed production.

Apart from the current cold spell, the crop has also suffered in view of lack of soil moisture due to insufficient rains in Rajasthan, the main rapeseed/mustard producing State. Besides, Madhya Pradesh, another major growing area, has also suffered due to the same problems.

Shift in acreage

On the other hand, there has also been some shift in area from rapeseed/mustard to other crops.

In Rajasthan, the area under rapeseed/mustard has declined to 24.78 lh from 28.97 lh last year, while in Madhya Pradesh, it has slipped to 5.41 lh from 6.97 lh. In Gujarat, it is down to 3.41 lh from 3.60 lh, while in Haryana coverage has dropped to 5.50 lh from 6.35 lh. Uttar Pradesh and West Bengal are the only States where sowing has shown improvement at 7.9 lh (7.7 lh) and 4.50 lh (4.35 lh) respectively.

On the other hand, rabi groundnut has shown a rise of 78,000 hectares and sesame 7,000 hectares. Area under linseed (4.84 lh vs 5.18 lh), sunflower (10.20 lh vs 11.74) and safflower (3.15 lh vs 3.42) has declined.

Trade estimates for rabi oilseeds will be finalised on March 2 during a seminar on rabi in Agra.

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