According to the Ministry of Agriculture, India’s edible oils and oilseeds industry in FY 24 is pivotal, with oilseeds production forecasted at 41.9 million metric tons. Despite a 2.6% decline in edible oil imports to 10.09 million tons, the country still relies on imports for about 55-60% of its edible oil needs, highlighting ongoing challenges in achieving self-sufficiency.
On Thursday, the government authorized an outlay of Rs 10,103 crore to make India self-sufficient in cooking oils, with the goal of being self-sufficient in oilseed production over the next seven years. Cabinet authorizes the National Mission on Edible Oils- Oilseeds (NMEO-Oilseeds) for 2024-25 to 2030-31.
Moreover, the mission aims to increase primary oilseed production from 39 million tonnes in 2022-23 to 69.7 million tons by 2030-31. Together with NMEO-OP (Oil Palm), the target is to increase domestic edible oil production to 25.45 million tonnes by 2030-31 meeting around 72% of India’s projected domestic requirement.
India imports more than 50% of its annual edible oil requirements. Moreover, India imports palm oil from Indonesia and Malaysia while soyabean oil is imported from Brazil and Argentina. Sunflower comes mainly from Russia and Ukraine.
The Mission also aims to increase oilseed production by 40 lakh hectares by targeting rice and potato barren areas, encouraging intercropping, and promoting crop diversity.
Here are the stocks in focus after Gov approved outlay of Rs 10,103 crore to make India self-sufficient in cooking oils.
Adani Wilmar Ltd
Adani Wilmar Limited offers kitchen commodities for Indian consumers, including edible oil, wheat flour, rice, pulses, and sugar. Additionally, it has a branded health and convenience product portfolio that includes Rice Bran oil, Blended oil, soya nuggets, biryani kit, and khichdi.
With a market capitalization of Rs 44,351.53 crore, the shares closed at Rs 341.25 per share, increased around 1 percent as compared to the previous closing price.
Gokul Agro Resources Ltd
Gokul Agro Resources Ltd is engaged in the business of manufacturing and trading of edible and non-edible oil, meals, and other agro products. The Company offers agro-based commodities under various product groups, including soybean, Palmolive, cottonseed oil and others.
With a market capitalization of Rs 4,022.77 crore, the shares were trading at Rs 272.65 per share, increased around 3 percent as compared to the previous closing price.
Agro Tech Foods Ltd
Agro Tech Foods Limited is an India-based firm that specializes in the production and trading of edible oils and food items. The Company’s product lines include ready-to-cook snacks, ready-to-eat snacks, spreads and dips, morning cereals, and chocolate confectionery.
With a market capitalization of Rs 2,095.76 crore, the shares closed at Rs 860.00 per share, increased around 1.5 percent as compared to the previous closing price.
Ajanta Soya Ltd
Ajanta Soya Limited is engaged in the manufacturing of Vanaspati and various kinds of refined oil with shortening products for bakeries, such as biscuits, puffs, pastries, and other applications. The Company has a portfolio of brands, including Dhruv, Anchal, and Parv.
With a market capitalization of Rs 388.73 crore, the shares closed at Rs 48.30 per share, increased around 4 percent as compared to the previous closing price.
Written by:- Abhishek Singh
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