Abuja: The Federal Government has joined forces with investors and other stakeholders to revitalise the palm oil subsector and curb the nation’s reliance on imports.
Sen. Abubakar Kyari, the Minister of Agriculture and Food Security, announced this on Thursday at a national stakeholders’ meeting in Abuja, where participants focused on developing Nigeria’s palm oil production capacity together.
Kyari, through his Senior Technical Assistant, Mr Ibrahim Alkali, said the initiative partners with Mass Industrial Development and Logistics Ltd. and operates as a Public-Private Partnership (PPP).
He explained that the programme will help Nigeria save up to $500 million annually on imports, increase local production, and reinforce food security.
He emphasised that strong collaboration among stakeholders will determine the initiative’s success.
He emphasised the need to transition from intention to action and noted that bold, decisive steps are required to drive agricultural economic growth.
Kyari recalled that in the 1960s, Nigeria supplied over 40 per cent of global palm oil. Now, the country produces about 1.4 million metric tonnes yearly. This is far below the demand of over 2.5 million.
He stated the deficit exceeds one million metric tonnes, forcing Nigeria to spend $500 to $600 million annually on imports.
He noted that this situation results in lost domestic opportunities while the country imports goods it could produce.
The minister explained that the initiative supports President Bola Tinubu’s Renewed Hope Agenda and the National Oil Palm Development Strategy. He explained that the strategy aims to expand production and improve yields. It will also strengthen processing and integrate smallholder farmers into value chains.
Kyari noted that state governments will play a vital role by providing access to land, enabling policies, developing infrastructure, and fostering community engagement.
He said the programme will launch its first phase by establishing seven integrated oil palm estates of 10,000 hectares each across participating states.
According to him, the estates will be complete economic ecosystems. They will combine production with modern milling. The sites will also feature refining, storage, and distribution facilities.
He stated the second phase would focus on the processing and manufacturing of palm-based products. This is meant to boost value addition and improve competitiveness in local and export markets.
Kyari said participating states and investors will benefit from increased investment inflows and expanded economic activity. These will also lead to higher internally generated revenue and better livelihoods.
He urged states, investors, and development partners to embrace the initiative, highlighting strong market prospects and robust government support.
Earlier, the Permanent Secretary of the ministry, Dr Marcus Ogunbiyi, called the meeting timely and essential for repositioning the palm oil subsector.
Ogunbiyi sent Mr Abba Waziri, Director of Farm Input Support Services, to represent him. He praised Mr Emmanuel Anyaralu, Managing Director of Mass Industrial Development and Logistics Ltd., for launching the programme.
In a presentation, Anyaralu said the initiative would be a game-changer for the palm oil value chain. He added it would align with the government’s agricultural transformation agenda.
He added that it would boost revenue and improve farmers’ livelihoods.
