The Federal Ministry of Agriculture and Food Security, in partnership with Mass Industrial Development and Logistics Limited and other stakeholders, has launched a plan to revive Nigeria's palm oil industry. The initiative was announced at a national stakeholders' meeting on April 16 in Abuja, aiming to reduce palm oil imports by up to $500 million annually. Minister of Agriculture and Food Security, Senator Abubakar Kyari, said the project will operate under a Public-Private Partnership model, with government support in policy and regulation but no public borrowing. Kyari, represented by his Senior Technical Assistant Engineer Ibrahim Alkali, noted Nigeria once held over 40 percent of the global palm oil market in the 1960s but now produces only 1.4 million metric tonnes yearly, against domestic demand of over 2.5 million metric tonnes. This gap leads to annual import spending of $500 million to $600 million. The minister stated the project aligns with President Bola Tinubu's Renewed Hope Agenda and the newly validated National Oil Palm Development Strategy. State governments are expected to provide land, infrastructure and enabling policies. Phase one involves establishing seven integrated oil palm estates, each spanning 10,000 hectares, with full production and residential ecosystems for over 2,000 families per site. Phase two will focus on downstream processing of palm-based products. Kyari said the project offers an internal rate of return of 18 to 25 percent with a payback period of five to seven years. Nigeria has over three million hectares of suitable land, much underutilised, while existing plantations suffer from ageing trees and poor inputs. "Nigeria has the land, climate, market and people. What we need now is decisive investment and coordinated action," Kyari said. The Permanent Secretary, Dr. Marcus Olaniyi Ogunbiyi, represented by Engr. Abba Waziri, confirmed the ministry's approval of the Mass Industrial proposal as a national initiative.
Senator Abubakar Kyari claims Nigeria can save $500 million yearly by reviving palm oil production, yet the country has failed to do so despite holding the same advantage in land, climate and market for decades. If the conditions have always been present, the delay in action suggests a long-standing failure in political will rather than a lack of resources. The promise of 10,000-hectare estates and housing for 2,000 families per site stands in sharp contrast to the reality of unfulfilled agricultural projects across past administrations. Nigerians named in the strategy may find themselves waiting again unless implementation is proven, not promised.
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