3F Oil Palm announced an agreement with the Andhra Pradesh government to invest Rs 550 crore over the next five years in oil palm plantation, development, and processing.

3F Oil Palm will develop a nursery, crop maintenance facility, farmer services, fresh fruit bunches (FFB) collection and handling, research and development facilities, and a greenfield integrated palm oil processing complex in Ayyavaram village, Nallajerla Mandal, East Godavari, according to a statement from the company.

The company has also been allotted an additional 24 zoanes in the five districts of Tirupati, Chittoor, Guntur, Nandyal and Krishna with a potential area of over 1,00,000 hectares, it added.

"We are enthusiastic to embark on this transformative journey with the farmers of Andhra Pradesh. Our milestone investment of Rs 550 crore not only signifies our confidence in the potential of the region but also our commitment to sustainable and inclusive development. Together, we aim to create a thriving ecosystem that benefits all stakeholders," 3F Oil Palm Managing Director and CEO Sanjay Goenka said.