April 23, 2010

India's oilseed production to take an upturn

 

India's total oilseed production for 2010-11 is forecast at 34.9 million tonnes, up 3.2 million tonnes over the 2009-10 production estimate, according to the USDA Foreign Agricultural Service (FAS).

 

The forecast is based on a normal monsoon and favourable growing conditions in the country, according to FAS. High domestic prices of soy, peanut and sunflower should prompt farmers to plant more acreage for oilseed cultivation. However, rapeseed planting is likely to face stiff competition from wheat, winter-grown chickpeas and lentils, according to FAS.

 

FAS forecasted oilmeal production and feed use in 2010-11 at 15.2 million tonnes and 11.5 million tonnes respectively. Oilmeal exports in 2010-11 are forecast at 3.4 million tonnes. An expected decline in oilseeds crushing in 2009-10 would bring down the oilmeal production to 13.5 million tonnes, according to FAS. Feed use in 2009-10 is estimated at 10.4 million tonnes as high feed prices and reports of avian flu in some parts of the country may have constrained feed demand. Oilmeal exports in 2009-10 are estimated at 3.05 million tonnes due to declines in domestic oilseeds crushing and weak export demand, FAS said.

 

Edible oil production in 2010-11 is forecast at seven million tonnes, up 13% over 2009-10 with most of the increase expected in rapeseed, soyoil and peanut, according to FAS. Consumption is also forecast to increase by 5% at 15.7 million tonnes. Edible oil production in 2009-10 is estimated at 6.2 million tonnes while imports are estimated at 8.6 million tonnes, according to FAS.