Nigeria's Palm Oil Sector Struggling As Demand Surges

Over half a century ago, Nigeria was a world leader in palm oil production, but its status has since changed due to neglect of the sector and extreme weather events, writes Abdulkareem Mojeed for Premium Times.

Farmers in the Ikot Afaha community of Akwa Ibom are experiencing a decline in yields and lower production due to changes in weather patterns. Rainfall distribution and intensity affect palm tree growth and oil production. Extreme weather events like flooding have also disrupted production in Akwa Ibom and Edo states. Small-scale palm oil processors face difficulties during the rainy season and lack empowerment and processing machines. Pests, insecurity caused by pastoralists, and insufficient government support further impact palm oil production.

Nigeria, has gone from being a leading palm oil producer, to a net importer. Despite increased production in recent years, the country contributes less than 2% of global production. Domestic consumption is growing, but the majority is for industrial use. The Nigerian Institute for Oil Palm Research provides improved seeds and know-how, but challenges persist, including access to land and credit. Nigeria has fewer cultivated plantations compared to Malaysia and Indonesia, and many holdings are unorganised and use questionable planting materials.

Palm oil is used in food, personal care products, biodiesel, household items, and animal feed.