Nigeria spends $600m annually on palm oil importation

The National Palm Produce Association of Nigeria (NPPAN) says Nigeria spends 600 million dollars on palm oil importation annually.

Mr. Alphonsus Inyang, the national president of the association, stated this in an interview with the newsmen on Tuesday in Abuja.

Hedescribed the expenses as unhealthy for national development.

Inyang said the amount could be saved and injected into the economy if the palm oil sub-sector was given due attention by successive governments.

The president said that Nigeria, which was self-sufficient in palm oil production in the past,now spends a huge amount to import the same product.

Inyang said in the 1960s, Nigeria was number one in palm oil production and exportation globally, controlling over 60 percent of world palm oil.

He said that the reverse was the case at the moment, as over 50 percent of what “we consume is imported.

Inyang said that at the moment, the country occupies fifth place in the league of palm oil- producing countries after Indonesia, Malaysia, Thailand, and Colombia.

According to him, Nigeria may lose its position to smaller countries that are investing heavily in the sector.

He saidIndonesia occupies the first position, producing 50 million metric tonnes, Malaysia second with 19 million metric tonnes, Thailand 3.28 million, and Colombia 1.9 million metric tonnes.

The president attributed the challenge to the negelect of the sector by successive governments.

Inyang said, based on the U.S.Department of Agriculture, Nigeria currently occupies fifth place in the league of palm oil-producing countries with 1.5 percent, or 1.4 million metric tonnes, of the world’s total output.

“Nigeria was overthrown as the world’s largest palm oil producer and exporter by Malaysia and Indonesia in 1966.

"Currently, Nigeria is the largest consumer of the product on the continent, consuming approximately three million metric tonnes a year.

“Domestic production stands at less than 1.4 million metric tonnes, leaving a deficit of over 1.6 million metric tonnes,’’ he said.

Inyang urged the government, specifically the Federal Ministry of Agriculture and Food Security, to support NPPAN memberswith seedlings to develop 250,000 hectares per year.

“Our members can plant up to 250,000 hectares per year through the association’s National Oil Palm Strategy Development Plan; all we want are inputs.

“The government does not need to give and develop land for us; we need seedlings, fertilisers, logistics, and implements to close this gap within four years.

“We will also create new millionaires in the 28 states of the federation, “he said.