National Mission on Edible Oils – Oilseeds (NMEO-Oilseeds)

India eats a lot of cooking oil. It grows too little oilseed to make all of it. The gap is filled by imports. A seven-year Central mission now tries to close that gap.

This lesson covers the mission’s goals and crops, how it works on the ground, its companion mission for oil palm, and its progress so far.

1.1 What is the mission, and what does it aim for?

The full name is the National Mission on Edible Oils – Oilseeds (NMEO-Oilseeds). The Union Cabinet approved it on 3 October 2024. It runs for seven years, from 2024-25 to 2030-31. The outlay is Rs 10,103 crore.

Its main goal is Atmanirbharta, which means self-reliance, in edible oils. At the time, imports met about 57% of what India needed. The mission wants to cut that dependence.

1.2 What numbers does it target?

The mission aims to raise primary oilseed output from 39 million tonnes in 2022-23 to 69.7 million tonnes by 2030-31.

With the oil palm mission, the target is 25.45 million tonnes of domestic edible oil by 2030-31. That would meet about 72% of the projected need.

1.3 Which crops does it cover?

Five crops are called primary oilseeds in the Cabinet release. They are rapeseed-mustard, groundnut, soybean, sunflower and sesamum.

The mission also covers secondary sources. These are cottonseed, rice bran and tree-borne oils. The mission helps collect and extract more oil from them.

Common mistake: mixing this list with India’s nine major oilseeds. The PIB Backgrounder lists nine: groundnut, soybean, rapeseed-mustard, sunflower, sesame, safflower, niger, castor and linseed. The mission names five as primary.

A target on paper does not grow oilseeds. The mission uses seeds, clusters and more land.

2.1 How does it improve seeds?

Good seed is the first need. The mission starts an online five-year rolling seed plan on the SATHI portal. SATHI stands for Seed Authentication, Traceability and Holistic Inventory.

States use it to agree on seed supply early with seed agencies. These include cooperatives, Farmer Producer Organisations (FPOs), and government or private seed corporations.

The Cabinet release also plans 65 new seed hubs and 50 seed storage units in the public sector. By August 2026, 60 seed hubs and 50 storage units were sanctioned for breeder seed.

2.2 What are Value Chain Clusters?

A Value Chain Cluster is a group of farms linked to one chain, from field to oil mill. The Cabinet plan is over 600 clusters in 347 districts. They would cover more than 10 lakh hectares every year.

Clusters are run by value chain partners. These are FPOs, cooperatives, and public or private firms. Farmers in them get quality seed, training and weather and pest advice.

2.3 How does it add new land?

The mission wants 40 lakh more hectares under oilseeds. It points to rice-fallow and potato-fallow land, which lie empty after those crops. It also backs intercropping and crop diversification.

The idea is to add area, not just squeeze more yield from old fields.

2.4 Who pays?

The Backgrounder gives the funding split. For general States, the Centre and State share 60:40. For North-Eastern and hill States it is 90:10. Union Territories and central agencies get 100% Central funding.

Oil palm is a tree crop. It needs its own plan. India already had one before 2024.

3.1 What is NMEO-OP?

The National Mission on Edible Oils – Oil Palm (NMEO-OP) got Cabinet approval on 18 August 2021. It is a Centrally Sponsored Scheme. The outlay is Rs 11,040 crore.

Its special focus is the North-East Region and the Andaman and Nicobar Islands.

3.2 What does NMEO-OP promise?

The plan was to add 6.5 lakh hectares of oil palm by 2025-26. That would reach a target of 10 lakh hectares. Crude palm oil output was to reach 28 lakh tonnes by 2029-30.

Farmers get a price promise called the Viability Price for their fresh fruit bunches. The scheme has a sunset date of 1 November 2037.

3.3 How do the two missions compare?

Common mistake: giving the North-East focus to NMEO-Oilseeds. It belongs to the oil palm mission.

Numbers matter here. Note which year each one belongs to.

4.1 What did the Government report in August 2026?

On 7 August 2026 the Minister of State gave a written reply in the Rajya Sabha. It says:

• 13.52 lakh hectares got free seed in Value Chain Clusters during 2025-26.
• Another 4.44 lakh hectares were covered in kharif 2026 so far.
• Oilseed output was 430.59 lakh tonnes in 2025-26. This is the third advance estimate.
• Output was 413.55 lakh tonnes in 2022-23.

An advance estimate can change later.

4.2 What happened to imports?

The same reply says edible oil imports fell from 165.00 lakh tonnes in 2022-23 to 160.72 lakh tonnes in 2024-25. Domestic availability rose from 124.23 to 126.30 lakh tonnes.

India still buys a large share of its oil from abroad. A small fall does not end the dependence.

4.3 Why was the import duty cut in 2025?

On 11 June 2025 the Centre cut the basic customs duty on crude sunflower, soybean and palm oil. It fell from 20% to 10%. The aim was to bring down the landed cost and retail prices.

The gap between crude and refined oil duty rose from 8.75% to 19.25%. This favours refining crude oil inside India.

4.4 Which production figures can a student mix up?

Three figures sound alike. The first is the 39 million tonne base for the mission’s primary oilseed target. The second is total oilseed output of 413.55 lakh tonnes in 2022-23. The third is 430.59 lakh tonnes in 2025-26.

Total output covers all oilseeds. The 39 million tonne base counts primary oilseeds only. Do not compare them as if they were one series.

Common mistake: reading 430.59 lakh tonnes as progress against the 69.7 million tonne target. The two use different bases.

The oil palm mission has been asked in a defence exam.

5.1 What did UPSC CDS ask?

UPSC CDS (II) 2021, General Knowledge, Question 120 asked which States, Union Territory or region are in special focus under NMEO-OP. The answer is (b), the North-East Region and the Andaman and Nicobar Islands.

5.2 What is the pattern?

Examiners test which mission owns which feature. The North-East focus is for oil palm. The five primary crops and the 69.7 million tonne goal are for the oilseeds mission.