Empowered Group of Ministers on drought to meet on May 8 to assess fodder situation

NEW DELHI: To increase fodder supply in drought-hit states, the Empowered Group of Ministers on Drought is scheduled to meet on May 8 to consider a proposal to extend import duty waiver on oilcakes for another six months.

"The EgoM on drought, headed by Agriculture Minister Sharad Pawar, is scheduled for May 8. Duty-free import of oilcakes is among other issues listed on the agenda for discussion," said a source.

The proposal is to extend the duty-free import of oilcakes for six months till September this year and also include rice bran, palm kernel cake and copra cake in the basket of oilcakes, the source said.

Duty-free imports will augment fodder supply especially in drought affected states -- Maharashtra, Karnataka and Gujarat and provide relief to the dairy industry.

In August, the government had allowed duty-free import of oilcakes for six months till March 31. About 75,000 tonne of oilcakes had been imported till February, industry data shows.

Besides this, the EGoM is also expected to review drought situation in Rajasthan and consider providing some relief package.

In the 2012-13 fiscal, the government had announced a drought relief package of Rs 1,585.93 crore to Maharashtra, Rs 864.71 crore to Gujarat, Rs 526 crore to Karnataka and Rs 62.61 crore to Kerala.