On the back of greater availability of oil seeds, oilmeal exports have increased by 53% to 3.54 lakh tonnes (lt) in September 2010-11, the Solvent Extractors’ Association of India (SEA) has informed. This development holds immense significance for the numerous oilmeal and soymeal export-based SMEs in the country, which are likely to be encouraged to boost their exports further.

In this context, BV Mehta, executive director of SEA told a Bizxchange correspondent, “Although 70% of the oil seed production is received by April-May, the production went down in the first two quarters of the currenct financial year and only around 40% could be sourced, which decreased raw material supplies for oilmeal crushing SMEs and resulted in a reduction in exports. By virtue of good monsoon, sufficient surplus stock is being reported now, which is expected to increase oilmeal exports during the latter part of 2010-11.”

However, according to Rahul Hirway, owner of Vippy Industries Limited, a small-sized unit in Dewas, Madhya Pradesh which manufactures and exports oil and soymeal products, “Exports are just about normal now. The robust growth in oilmeal exports is mainly due to base effect, as shipment of the commodity was much lower during the same peroid in 2009.”

Notably, the September rise in exports follows the 14% export growth of oilmeals to 2.44 lt in August.