Govt support for oil palm farming! ₹29,000 for plants and up to ₹50,000 subsidy for borewells

The Bihar government is encouraging farmers to take up oil palm cultivation to increase the area under oilseed and edible-oil crops in the state. Applications are being invited from farmers for the National Mission on Edible Oils – Oil Palm for the financial year 2026-27. The scheme provides financial support not only for planting oil palm but also for initial cultivation expenses and developing irrigation facilities.

Under the scheme, selected farmers can start oil palm cultivation on their land. Financial assistance will be provided per hectare for planting oil palm saplings. In addition, farmers who grow suitable horticultural crops between the oil palm plants during the initial growth period can also receive financial support for inputs and crop management.

150 Oil Palm Plants Will Be Planted Per Hectare:

1. The scheme provides for 150 oil palm plants per hectare. Farmers will receive ₹29,000 per hectare as assistance for planting these saplings.
2. Farmers cannot purchase the oil palm planting material arbitrarily. Saplings will be supplied under the scheme through selected eligible suppliers identified through an Expression of Interest (EOI) process.
3. The purpose of this system is to ensure that farmers receive planting material according to the scheme's requirements and that the prescribed number of plants is established in the approved area.

Financial Assistance Also Available for Intercropping:

1. Oil palm plants take time to start producing. During this initial period, farmers can grow suitable horticultural crops between the oil palm plants. This allows the land to remain productive and may provide farmers with an additional source of agricultural income during the early years.
2. Keeping this requirement in mind, the scheme includes a component called Management and Inputs for Intercropping During the Gestation Period. Under this component, financial assistance of ₹10,500 per hectare per year is provided.
3. This assistance can be used for activities such as weeding, plant protection, fertilizers and manure, weed management and other agricultural activities related to intercropping.

Important Condition: Oil Palm Must Be Planted First:

1. Farmers should pay particular attention to an important condition related to the intercropping assistance. Both the planting and intercropping benefits are available to the same farmer only after the required oil palm plantation has been established.
2. In other words, the farmer must first plant the approved oil palm saplings on the land under the scheme. Intercropping assistance will not be available simply on the basis of growing another crop.
3. According to the scheme rules, the benefit under Management and Inputs for Intercropping becomes permissible only after the approved planting material has been planted.

Up to ₹50,000 Assistance for Borewells:

1. Irrigation availability is important for oil palm cultivation. Keeping this requirement in mind, the scheme also includes assistance for constructing borewells on oil palm farms.
2. Under this component, assistance of ₹50,000 per borewell is provided. For 2026-27, a physical target of 100 borewells has been set under this component.
3. However, borewell assistance will be approved separately according to the applicable rules and conditions. Farmers should therefore check their eligibility and the available target with the concerned department before applying.

Land Documents Required for the Application:

1. Farmers applying under the oil palm scheme will need to provide documents related to their land. Depending on the applicable requirements, farmers may need documents such as a land ownership certificate, an updated revenue receipt for the prescribed period, an online updated revenue receipt or a valid land ownership certificate based on the genealogy of the family.
2. For non-tenant farmers, an agreement (Ekraarnama) may also be submitted as a supporting document.
3. If the applicant's name is not clearly mentioned in the land records, submitting only a revenue receipt will not be sufficient. In such cases, the required land documents must be accompanied by a genealogy document (Vanshavali).

Check DBT Bank Account Details Before Applying:

1. Farmers should also verify their bank account details before submitting the application. In particular, they should make sure that the bank account provided in the application is registered for DBT.
2. According to the scheme rules, approved assistance will be transferred through DBT-In-Cash or DBT-In-Kind through the CFMS system. Incorrect bank account information could therefore create problems during the payment process.

Understand the Complete Assistance Structure:

The scheme provides financial assistance for different activities involved in oil palm cultivation. In simple terms, farmers can receive ₹29,000 per hectare for planting oil palm, ₹10,500 per hectare per year for intercropping and crop management during the initial period, and up to ₹50,000 per borewell, subject to the applicable eligibility conditions.

Things Farmers Should Check Before Applying

1. Farmers planning to apply for assistance under the oil palm cultivation scheme should first confirm that their land falls within the area covered by the scheme and that they have the required land documents.
2. They should also verify their DBT-enabled bank account details before completing the application.
3. Farmers should remember that intercropping assistance will not be available without planting the oil palm saplings first. Therefore, applicants should understand the conditions attached to both components before applying.
4. Farmers interested in taking advantage of the scheme can contact the concerned Horticulture Department in their district before applying. They can obtain information about the current availability of the scheme, target, eligibility conditions and the latest application process.

FAQs:

1. How many oil palm plants will be planted on one hectare?
A total of 150 oil palm plants will be planted per hectare under the scheme.

2. How much assistance is available for oil palm planting?
Farmers can receive ₹29,000 per hectare for oil palm planting.

3. How much assistance is available for intercropping?
The scheme provides ₹10,500 per hectare per year for intercropping and related management activities.

4. Can farmers get assistance for a borewell?
Yes. Eligible farmers can receive up to ₹50,000 per borewell, subject to scheme conditions.

5. Is oil palm planting necessary for intercropping assistance?
Yes. The approved oil palm plantation must be established before the farmer becomes eligible for the intercropping assistance.