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National Oil Seeds and Vegetable Oils Development Board Act,1983

Act No : 29


Section : SHORT TITLE, EXTENT AND COMMENCEMENT

NATIONAL OILSEEDS AND VEGETABLE OILS DEVELOPMENT BOARD ACT, 1983
29 of 1983
8th September, 1983

STATEMENT OF OBJECTS AND REASONS Oilseeds are the principal commercial crops of India. These are grown on an area of about 18 million hectares annually which constitutes about 10 per cent. of the total cropped area in the country Vegetable oils derived from oilseeds and other oil bearing material of plant origin, including rice-bran and a variety of tree crops, from an essential part of human diet and also serve as valuable raw material for industrial products such as soaps, paints, lubricants, etc.

There has been presistent gap between demand and supply of vegetable oils which has been met through imports valued at about Rupees 600 to 700 crores annually. The per capita consumption of vegetable oils in the country is about 6 kg. which is quite low as compared with world average of likg. and about 26 kg. in the developed countries. Therefore, every effort has to be made to increase the production and productive of oilseeds and expoitation of other sources of vegetable oils with a view to progressively narrow the gap between the demand and supply of vegetable oils and thus to attain self-sufficiency in the production of oilseeds and vegetable oils.

2, Production of oil seeds has been subject to considerable fluctuations due to seasonal aberrations. Only about 8 per cent of the total area under oilseeds is irrigated and the productivity in general is considerably low. Research efforts need to be intensified in order to brng about technologist improvements and evolve high yielding varieties of oilseeds. Infrastructure for marketing needs to be strengthened to eliminate speculative activities resulting in large fluctuations in prices which have a dampening effect on production. Post-harvest technology needs to be modernised with a view to minimising losses in this process. Similarly, exploitation of other sources of vegetable oils including rice bran, red palm oil, etc. need to be given greater attention Development of oil seeds of tree origin and forest origin merits special consideration as these oilseeds are grown in areas mostly inhabited by tribals and other backward classes.

3. The processing industry for the production of vegetable oils has to be modernised. Technological innovation designed to increase oil extractions from different sources of vegetable oils have to be given due encouragement. By- product utilisation and diversification have also to be encouraged. There are rich potentialities for marketing of deoiled sal seed meal and other cakes and meals of tree or non-traditional oil seeds like Mahua. Neem, Palas, etc.

4. In order, to deal effectively with these problems, under conditions of growing supply and demand gap in the vegetable oils sector, it is necessary to have an integrated approach towards oilseeds production, processing, procurement, marketing, storage, prices and quality control. The Bill seeks to provide for the integrated development of the oil seeds industry (including coconut industry) and the vegetable oils industry under the control of the Union and for the establishment of a Board to be known as the Natioonal Oilseeds and Vegetable Oils Development Board. The Board will provide technical, financial and other assistance for the promotion of oil seeds industry and the vegetable oils industry. It is proposed to vest the Board with adequate powers to deal with various aspects of oil seeds industry and the vegetable oils industry.

5. The Board shall have representatives of the concerned Ministeries of the Central Government, oil seeds growing States, growers of oil seeds, vegetable oils industry and other connected interests.

6. The finances of the Board will consist of sums provided by the Central Government out of the proceeds of cess on vegetable oils (vide Vegetable Oils Cess Bill, 1983) grants or loans made by the Central Government or by any other person or donations from the State Governments, voluntary organisations and other institutions. The Board will also have power to borrow money, with the approval of the Central Government, from the public by the issue or sale of bonds and debentures and from any bank or any other authorities, organisation or institution.

7. The Bill seeks to achieve the above objects -S.O.R. Gaz. of India.. 3-5-1983, Pt. II, S. 2, Ext., p. 20.

An Act to provide for the development under the control of the Union of the oilseeds industry and the vegetable oils industry and for matters connected therewith. Be it enacted by Parliament in the Thirty-fourth Year of the Republic of India as follows :-

SECTION 01: SHORT TITLE, EXTENT AND COMMENCEMENT

(1) This Act may be called the National Oilseeds and Vegetable Oils Development Board Act, 1983.

(2) It extends to the whole of India.

(3) It shall come into force on such date" as the Central Government may, by notification in the Official Gazette, appoint.



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