Unlocking Potential: 70% of Global Rice Bran Oil Remains Untapped, Say Experts

According to BV Mehta, Executive Director of the Solvent Extractors’ Association of India (SEA), approximately 70% of the global rice bran oil potential remains untapped, presenting a significant opportunity for production enhancement. During the ‘International Conference on Rice Bran Oil 2026’ in Bangkok, Mehta highlighted that while the world has the capacity to produce about 8 million tonnes (mt) of rice bran oil, current production is only at 2.4 mt. India, as a leading producer with 1.1 mt of rice bran oil output, has an estimated potential of 2.3 mt, signaling that more robust efforts are required to fully exploit this resource.

For the average citizen, this situation presents both opportunities and challenges. Increased production capability in rice bran oil can lead to better prices for farmers through value-added products, potentially reducing reliance on imported edible oils. A more efficient extraction and processing infrastructure would not only enhance domestic supply but may also lower prices for consumers. The shift towards unlocking this potential indicates a strategic pivot in agricultural economics, benefiting rural economies and promoting local industries.

Looking ahead, the government and the RBI must take decisive steps to cultivate this sector. Proposed measures including the reduction of GST on de-oiled rice bran and rationalizing the tax on rice bran fatty acid distillate could alleviate current economic barriers. Additionally, emphasizing research and development for modernizing rice milling infrastructure and incentivizing bran stabilization will be essential. By fostering a coordinated value-chain approach, the government can stimulate growth in the rice bran oil sector, ensuring both improved farmer income and food security while capitalizing on untapped global potential.

Source: The Hindu

(Expert Note: This report was independently prepared by the Wealthova Economy team.)