Oil Palm is the highest yielding crop compared to all vegetable oil seed crops which can yield up to 20-25 MTs FFBs and in turn to 4-5 MTs of Palm Oil and 0.4-0.5 MT Palm Kernel Oil (PKO). Palm oil constitutes about 80% of total edible Oil import, and hence Oil palm is identified as one of the potential crop which significantly contribute to increase in edible Oils production in the Country.

Andhra Pradesh stands 1^st in Area and Production of Oil Palm in the Country with an area of 2.27 lakh ha and 18.95 Lakh MT of FFBs (1.74 lakh Farmers) with an average productivity of 19.81 Tons per ha from the bearing plantations of 1.74 lakh Ha.

354 mandals were identified across the State in 24 districts i.e., Srikakulam, Parvathi puram Manyam, Vizayanagaram, Vishakapatnam, Alluri Sita RamaRaju, Anakapalli, Kakinada, East Godavari, Konaseema, Eluru, West Godavari, NTR, Krishna, Guntur, Palnadu, Bapatla, Sri potti sri ramulu, Tirupathi, Chittoor, Kurnool. Annaymayya, Nandhyal, YSR Kadapa and Anathapuram and allotted to different Companies in the State

Oil Palm programme is being taking in the state, duly allotting the oil Palm factory zones to the Oil Processing units. The factories also have to procure Oil Palm Fresh Fruit Bunches (FFBs) from the Oil Palm farmers and also to pay the price as fixed by the Government adhering to the Oil Palm Act 1993 and AP Oil Palm (Regulation of Production and Processing) Rules 2008.

 NFSM-Oil Palm activities

        1).  Subsidy @ 85% is being provided on Plant Material under Oil Palm Area Expansion Programme.

       2). 50% assistance is being provided to the beneficiaries for the components like Maintenance, Inter cropping, Borewell & Pump set, Vermi Compost units and Machinery and tools.

       3). 100% assistance is being provided for Capacity Building / Farmers Trainings