The National Palm Produce Association of Nigeria (NPPAN) has emphasized that the country could save $600 million annually by revitalizing its domestic palm oil sector.
According to the association's President, Alphonsus Inyang, Nigeria's reliance on palm oil imports has created a significant financial burden that could be mitigated by investing in domestic production.
Historically, Nigeria was a major player in the global palm oil market, accounting for over 60% of the world's production in the 1960s. However, due to neglect and lack of strategic investment, the country's production capacity has dwindled, and it now ranks fifth globally, behind Indonesia, Malaysia, Thailand, and Colombia.
Nigeria currently consumes approximately three million metric tons of palm oil annually, but only produces less than half of this demand domestically.
To bridge this deficit, NPPAN has proposed a comprehensive strategy through the National Oil Palm Strategy Development Plan, which aims to develop 250,000 hectares of oil palm plantations annually. This plan could help Nigeria meet its domestic demand and position it as a competitive player in the global palm oil market within four years.
The plan also emphasizes the importance of government support in providing essential inputs such as seedlings, fertilizers, logistics, and implements to achieve this goal.
NPPAN President Alphonsus Inyang called on the Federal Ministry of Agriculture and Food Security to prioritize and support local palm oil producers, stating that with the necessary governmental assistance, including policy frameworks and financial incentives, Nigeria has the potential to not only meet its domestic demand but also become a net exporter of palm oil.
