The Andhra Pradesh Farmers' Association has urged the State and Central governments to establish a new Oil Fed processing plant at Pedavegi, prevent the alleged exploitation of oil palm farmers by companies over the Oil Extraction Rate (OER), and ensure the supply of high-yielding oil palm seedlings to growers.

Addressing a meeting on oil palm farmers' issues at Uddaraju Ramam Bhavan in Eluru on Friday, Andhra Pradesh Farmers' Association State assistant secretary K. Srinivas said the problems faced by oil palm cultivators would be discussed and a resolution adopted during the association's 23rd State Conference scheduled to be held in Eluru from July 3 to 5.

Mr. Srinivas criticised oil palm companies for approaching the court against the State government's decision to fix the Oil Extraction Rate (OER) at 20.5%, seeking a reduction to 17.5%. He termed the move as unfair and alleged that the companies had united against the interests of farmers.

He called upon both the Centre and the State government to clarify their stand on the issue and questioned why the governments had not responded despite the legal challenge mounted by the companies. Instead of leaving farmers to fight the legal battle, he said, the governments should intervene in court in support of growers and bear the legal expenses incurred by farmers seeking to implead in the case.

Mr. Srinivas said that resolving the OER issue in the long term would require the construction of a modern Oil Fed processing plant at Pedavegi equipped with advanced technology. He urged the governments to grant the necessary approvals and questioned the delay in taking up the project.

He also opposed the reported move to privatise the existing Pedavegi Oil Fed factory, stating that the unit, despite operating with old machinery, continues to be profitable. He recalled that farmers had earlier united to prevent its privatisation and demanded that the government retain the facility while establishing a new, technologically upgraded plant.

The association further sought immediate steps to address the wider concerns of oil palm cultivators, including ensuring the availability of high-yielding planting material.

Mr. Srinivas appealed to oil palm farmers to participate in large numbers in the ‘Hello Rythanna–Chalo Eluru’ programme to be held on July 3 as part of efforts to press for the resolution of their demands.

Among those present at the meeting were reception committee leaders for the State conference, including R. Lingaraju, P. Ramakrishna, Pampana Ravikumar, and M. Issaku.