16.06.26
Forest-Based Producer Companies in Odisha Strengthen Sal Seed Market Linkages
The 2026 Sal seed season marked an important milestone for community-owned, forest-based Producer Companies (PCs) across Odisha. PCs from Keonjhar, Mayurbhanj, and Malkangiri districts took the lead in aggregating and marketing Sal (Shorea robusta) seeds, with directors, shareholders, and members playing a central role in procurement, coordination, and market linkage.
Sal is one of the most commercially significant forest species in eastern and central India. Its seeds are a valuable seasonal forest product (SFP) with applications across the food, confectionery, cosmetics, pharmaceutical, and industrial sectors. In recent years, Sal seed oil has also gained attention as a promising non-edible feedstock for biodiesel production, creating new opportunities for its use in renewable energy and low-carbon industrial value chains. For thousands of tribal households across Odisha, Sal seed collection provides an important source of seasonal income during the summer months. Strengthening aggregation systems and improving market access can therefore have a direct and meaningful impact on rural livelihoods and forest-based economies.
A Season Defined by Community Ownership
Building on the prior marketing experience of two PCs from Keonjhar and Mayurbhanj, four additional PCs undertook direct Sal seed sales for the first time. A defining feature of this season was the strong sense of ownership demonstrated by PC members. Aggregation was carried out through 18 collection centres across the three districts, creating an efficient network for the collection and consolidation of Sal seeds from forest-dependent communities. Collection and procurement activities were largely managed using internal resources. In several cases, PC aggregators contributed their own funds to sustain operations — reflecting the growing institutional confidence and operational capacity of these PCs.
Phase 1: Market Linkages with BelHarvest (Belpro) and Local Buyers
During the first phase, five PCs from Keonjhar and Mayurbhanj sold Sal seeds to BelHarvest (Belpro): Sunamanjari Green Shakti (3,161.0 kg), Bisiri Thakurini Green Shakti (6,000.0 kg), Jib Jiali Green Shakti (5,712.6 kg), Baba Kalapahada Green Shakti (3,383.0 kg), and Manaya Green Shakti (2,081.1 kg). Band Karyani Green Shakti PC from Govindpalli, Malkangiri, marketed its produce locally, selling 16,900.0 kg to a local trader. Across multiple procurement and pickup lots, the six PCs collectively sold 37,237.7 kg of Sal seeds, generating a total invoice value of approximately ₹9.49 lakh. Notably, no advance financing or external procurement capital was required — the entire operation was managed through existing PC resources.
Phase 2: Preparing for a Larger Market Linkage
Building on Phase 1, the PCs have begun preparations for a larger market linkage with AAK and Farmart. Collection activities are currently underway, with sales expected in the coming weeks.
Looking Ahead
The 2026 season demonstrates how community-owned PCs can move beyond aggregation to play a stronger role in value chain development and market engagement. As Phase 2 gets underway, the experience offers valuable lessons on local leadership, collective action, and the potential of community-owned enterprises to strengthen forest-based livelihoods at scale.