Palm Oil Duty Cut Sparks Farmer Fury in Andhra Pradesh

Rythu Sangham, a prominent farmers' association in Andhra Pradesh, has called on the Central Government to immediately withdraw the recent cut in the import duty on crude palm oil, which was reduced from 16.5% to 11%. The association argues that the duty reduction will devastate domestic oil palm, groundnut, and sesame growers in the state by making imported palm oil cheaper and depressing local prices.

The farmers' group has also demanded a support price of ₹25,000 per tonne for oil palm bunches to ensure remunerative returns. The duty cut, announced earlier this month, was aimed at cooling domestic edible oil prices, but Rythu Sangham contends it ignores the interests of local farmers who have invested in oil palm cultivation. Andhra Pradesh is a major producer of oil palm, groundnut, and sesame, and any price crash could push thousands of farmers into debt.

The protest highlights the ongoing tension between the government's efforts to control inflation and its commitment to doubling farmers' income. If the duty cut is not reversed, farmer groups warn of widespread agitation. The Centre has not yet responded to the demand, but the issue is likely to intensify political pressure in the run-up to upcoming elections. Global palm oil prices and India's import policies will be closely watched by traders and agricultural stakeholders.