Nigeria loses N94 Billion annually on palm oil importation – OAU professor

Prof. Kehinde Owolarafe of Obafemi Awolowo University (OAU), Ile-Ife’s Department of Agriculture and Environmental Engineering disclosed on Tuesday that Nigeria loses an astounding N94 billion a year as a result of the importation of palm oil.

During a one-day session on sensitization hosted by the Standards Organisation of Nigeria (SON) in Osogbo, Prof. Owolarafe stressed the importance of standardising in order to advance the palm oil value chain.

Prof. Owolarafe claims that from 1920 until 1960, Nigeria was the world’s top producer and exporter of palm oil.

He bemoaned, however, the fact that Nigeria is already importing almost one million metric tonnes of palm oil yearly to meet local demand, as Indonesia and Malaysia have now outproduced Nigeria in terms of palm oil production.

Prof. Owolarafe noted that although domestic palm oil production has recently increased, Nigeria still struggles to produce two million tonnes, while Malaysia and Indonesia produce tens of millions.

The lecturer listed a number of reasons why Nigeria produces so little palm oil, such as aged oil palm plantations, inadequate processing equipment, and unfavourable governmental regulations.

In order to fulfil international standards and enable exports, he underlined the critical need to improve palm oil output in terms of both quality and quantity.

Prof. Owolarafe also warned against palm oil adulteration, citing the health concerns connected with such practices.

In his remarks, Dr. Ifeanyi Okeke, Director-General of SON, emphasised that the workshop’s goal was to create awareness among stakeholders, including manufacturers, distributors, marketers, retailers, and users, about the necessity of conforming to industrial standards.

Mrs. Ethan Talatu, Southwest Director of SON, represented the Director-General and emphasised the need of maintaining quality standards throughout the palm oil production process. She emphasised that adhering to standards will result in improved income for all stakeholders throughout the value chain.

Dr. Okeke also emphasised the palm oil industry’s potential to offer job opportunities for millions of unskilled and semi-skilled workers, as well as its ability to alleviate poverty in Nigeria.

He underscored the importance of focusing on large-scale commercial production to harness the industry’s economic benefits effectively.