Indonesia is extending assistance for the cultivation of palm trees for oil production.
The Government is focusing on developing the cultivation of palm trees as an alternative to overcome the shortages of coconut oil and vegetable oil. Last year 14 billion rupees was spent on importing palm oil. Although the cultivation of palm trees has been launched since 1984 it has not received due support.
According to a request made by Minister Mahinda Samarasinghe Indonesia has agreed to provide 22 types high quality palm trees to Sri Lanka. The country will provide 200,000 seeds annually. A Memorandum of Understanding was signed in this connection. The expectation of the Government is to increase the production of palm oil up to 100 thousand metric tons during the next five years.