India’s ambitious plan to expand oil palm plantations in its northeastern states is encountering significant environmental and social challenges, according to wildlife biologist and conservation scientist Dr Ravi Chellam.
In his recent article, India’s palm oil plans wreak havoc on the ground, Dr Chellam highlights that the Indian government’s push to increase oil palm cultivation to one million hectares by 2025-26 is fraught with difficulties.
The initiative, aimed at reducing the country’s dependence on palm oil imports, has led to widespread issues on the ground.
More than 50 percent of the proposed increase in the area of cultivation, 328,000ha, is planned in the northeastern states, as identified in an assessment by the Indian Institute of Oil Palm Research in 2020. The plan is also to increase the production of crude palm oil from 27,000 tonnes in 2019-20 to 1.12 million tonnes by 2025-26.
“While the ambition and goals of the oil palm mission are lofty, the on-the-ground situation in the northeast tells a completely different story,” Dr Chellam writes. His observations are particularly focused on the northeastern states of Mizoram, Arunachal Pradesh, and Nagaland, where the challenges have been most pronounced.
Dr Chellam notes that in Mizoram, oil palm plantations have caused soil degradation and water shortages. “Given their intrinsically high requirements of water and nutrients, oil palm plantations have devastated soil health and the quality and availability of groundwater in the state,” he explained. The long gestation period of the oil palm—four to five years before fruiting, followed by a productive period of 20 to 25 years —adds to the complexity of land use in the region.
Dr Chellam also notes that Farmers are also struggling with severe logistical challenges. The rugged terrain, inadequate road infrastructure, and absence of nearby oil mills have created difficulties in processing the nuts, which must be done within 48 hours. Additionally, many farmers report that companies have failed to meet commitments regarding purchase prices and timely payments, while government subsidies have been frequently delayed.
Dr Chellam also finds that land use is a critical issue, with hilly terrain proving unsuitable for oil palm and soil fertility rapidly declining. The long-term commitment required for oil palm cultivation has forced some to sell their land due to financial losses.
In Arunachal Pradesh, the conversion of community lands into private property is raising concerns about social disruption and marginalization of poorer communities.
“The fear is that more and more of community land will get converted into at least de facto private property when planted with oil palm due to the decades-long lock-in period. This dispossession is likely to result in further marginalization of the poorer sections of society and could potentially lead to social turmoil and conflict,” wrote Dr Chellam.
Sikkim and Meghalaya have decided to stay away from planting oil palm.
According to Dr Chellam, while some farmers in Arunachal Pradesh are beginning to see benefits from their oil palm plantations, it is still too early to draw definitive conclusions about the crop’s success in the state. The situation in Arunachal Pradesh contrasts with the longer-term experience in Mizoram, where the challenges of oil palm cultivation have been more thoroughly documented.
Since January 2023, researchers have been closely monitoring the impact of oil palm cultivation in Nagaland, engaging with tribal elders and civil society members. Their findings indicate that Nagaland is following a trajectory similar to Arunachal Pradesh, with wealthier individuals consolidating landholdings to establish plantations, often at the expense of smaller landholders.
“It is clear that oil palm is a capital-intensive and very long-term crop. Deep pockets are required to survive and succeed,” added Dr Chellam.
Oil palm cultivation is proving to be capital-intensive and long-term, requiring substantial investment to be viable. Farmers have expressed significant frustration due to delays, reductions, or even complete stoppages of committed government subsidies. Many have also reported issues with private companies, including lower-than-promised purchase prices and delayed payments.
The challenges extend to logistical issues, as fresh fruit bunches—perishable and requiring processing within 24 to 48 hours—are often poorly coordinated. There is a lack of reliable information and guidance for farmers, adding to their difficulties.
Environmental and social issues are also prevalent. In Nagaland, Dr Chellam wrote that the oil palm plantations are causing soil depletion, water shortages, and increasing use of hazardous agro-chemicals. Additionally, there are rising labor costs, reduced employment opportunities for women, and shifts in land tenure and ownership. Recent fieldwork has shown a mixed picture, with some farmers experiencing unfulfilled commitments and significant financial losses, while others are receiving government subsidies and payments, though at a lower rate than anticipated.
The long-term experience with oil palm in India’s northeast has highlighted both financial and social drawbacks. Considering the environmental impacts, experts suggest that government policy should focus on promoting local and ecologically appropriate oil-bearing crops rather than heavily supporting oil palm. Despite current efforts, estimates suggest that India will not achieve self-sufficiency in edible oil through oil palm cultivation alone.
This article is a fantastic resource. Your detailed explanations and practical advice are greatly appreciated.