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Telangana Pitches for 44 Percent Import Duty on Crude Palm Oil

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Telangana has requested the Centre to increase the import duty on crude palm oil to 44 percent and also aims for an exclusive supply of urea from the Ramagundam Fertilizers and Chemicals Limited (RFCL) facility.

Officials stated that the demands were made prior to the kharif planting season, a time when the need for agricultural inputs typically increases.

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State IT and Industries Minister Duddilla Sridhar Babu presented the requests in New Delhi. The matters were addressed in a meeting with Union Commerce and Industries Minister Piyush Goyal, according to an official statement. Telangana associated the demands with agricultural stability and farmer earnings in the upcoming planting season.

Telangana requested the reinstatement of the import duty on crude palm oil (CPO) to 44 percent. The existing duty stands at 10 percent, as per the statement. Sridhar Babu stated that an increased tariff was necessary to support the livelihoods of oil palm farmers. The state presented the matter as assistance for local producers.

Regarding fertilisers, the minister asked that urea made at the RFCL facility be reserved solely for Telangana. The minister mentioned the supply interruptions the state experienced last year. The statement noted that exclusive distribution would aid in securing a consistent urea supply. Telangana stated that this was crucial prior to the start of kharif sowing.

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Sridhar Babu utilized the meeting to present a broader industrial agenda as part of Telangana's Rising Vision 2047. The government pursued assistance for a logistics center in Zaheerabad's Industrial Smart City. Telangana announced that the Hyundai Group has pledged Rs 8,500 crore in the state.

The funding is intended for a Global Innovation and Research & Development Center.

 

The minister informed Goyal that Telangana is developing Detailed Project Reports for plug-and-play industrial parks. The initiative includes 15-20 parks in Phase-1 of the Bhavya program. Telangana requested the Centre to finalize approvals during the June-July 2026 application period. Authorities stated that the schedule is crucial for the initial phase implementation.

Additional suggestions featured an Aero-Defence Corridor for the region and two large leather parks. The leather parks were pursued through the Mega Leather, Footwear, and Accessories Cluster Development (MLFACD) initiative. Telangana sought central approval for a Rs 2,050-crore Multi-Modal Logistics Park in Manoharabad. The park is located in the Medak district and is under development with NHLML.

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The official statement indicated that Telangana presented its demands for both agriculture and industry to the Centre. The state sought an increased CPO duty and RFCL-related urea allocation for the kharif season. It also aimed to gain assistance for logistics, industrial zones, and industry clusters. The proposals awaiting approval encompass projects in Zaheerabad, Manoharabad, and those under the Bhavya and MLFACD initiatives.

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