Mission Biofuels Limited has announced that its Indian subsidiary, Mission Biofuels (India) Pvt Ltd, has signed another agreement (press release for the first agreement) with an Indian district controlled entity granting it exclusive, long-term access to Jatropha Curcas seeds from already planted lands as well as access to additional land in the district that is to be planted with Jatropha Curcas over the next three years.
The district authority has formed a Cooperative Federation under the Indian Societies Act which is owned by the farmers and Jatropha growers in the district which will be managed by the district authority. The district authority has, from funding received the district authority has planted over 60,000 acres of Jatropha Curcas during the last five years. The district authority will continue to plant more Jatropha Curcas under the purview of the State Government policies for funding and development of Jatropha Curcas. The district has now transferred all planted and to be planted Jatropha Curcas to this newly formed federation.
Under the Agreement, Mission Biofuels (India) Pvt Ltd has agreed with the District Authority and the federation to:
- provide technical inputs and know-how to the Jatropha Curcas farmers;
- establish nurseries; and
- to support the newly formed federation in development of land along with effective utilization of Government grants for development of Jatropha.
This will enable Mission Biofuels (India) Pvt Ltd to gain exclusive access to all Jatropha Curcas seeds harvested in the district and will favorably impact the price Mission Biofuels (India) Pvt will pay for the Jatropha Curcas seeds purchased from the farmers and self-help groups of the federation.
Mr. Ashish Swarup, CEO of Mission Biofuels (India) Pvt Ltd, said:
This win-win partnership provides another excellent example of how a forward thinking government authority can help to provide: sustainable benefits to people living in poverty; long term value accrual to the Self help groups & farmers as owners of the cooperative federation; achievement of economies of scale; and benefits from the research and technical and commercial inputs from an integrated biofuels player. More districts should follow this example.
Mission Biofuels (India) Pvt Ltd is confident that this second win-win agreement will help it finalize arrangements ith some more districts in the region providing it immediate and long term access to large scale Jatropha Curcas seeds.