Nigeria has unveiled an ambitious plan to revive its oil palm industry, targeting a 10 per cent share of the global market and aiming to lift two million citizens out of poverty within six years.
Aliyu Sabi Abdullahi, Minister of State for Agriculture, announced the strategy at the Nigerian Oil Palm Development Strategy Validation Meeting in Abuja, describing it as a shift from policy stagnation to investment-driven growth.
According to him, the initiative positions oil palm as both an agricultural and industrial asset, given its wide applications in food production, cosmetics, pharmaceuticals, and animal feed. He noted that the sector is central to Nigeria’s broader economic diversification agenda.
Nigeria, once a global leader in palm oil production, has seen its market share decline sharply due to low productivity, weak processing capacity, limited financing, and poor coordination across the value chain.
To reverse the trend, the new strategy outlines a six-year roadmap focused on improving yields, expanding cultivated areas, and modernising processing infrastructure.
A major pillar of the plan is support for smallholder farmers, who account for about 80 per cent of production. Interventions will include access to improved seedlings, extension services, financing, aggregation systems, and better market linkages.
“We cannot transform this sector through isolated interventions,” Abdullahi said, stressing the need for coordinated action between government and private investors.
The strategy also prioritises moving from low-value raw production to higher-value processing and industrial utilisation. Investments in modern mills and technology are expected to improve extraction rates, reduce post-harvest losses, and meet international quality standards.
Financing is another critical component. The government is seeking stronger participation from private investors, financial institutions, and development partners, with policies designed to de-risk investment and attract capital into the sector.
On the global stage, Nigeria is strengthening ties with the Council of Palm Oil Producing Countries, where it currently holds observer status and plans to become a full member. This move is expected to improve technical collaboration and market access while aligning Nigeria with global sustainability standards.
Marcus Ogunbiyi, Permanent Secretary of the Ministry, said the strategy was developed through extensive consultations involving government agencies, research institutions, and private sector stakeholders.
Industry players have welcomed the initiative but cautioned that execution will be key. Joe Onyuike noted that Nigeria’s decline from about 40 per cent global dominance to roughly two per cent highlights longstanding structural challenges, particularly weak coordination and inconsistent policy implementation.
He emphasised the need to place smallholder farmers at the centre of the rollout, warning that excluding them could undermine progress.
Similarly, Alphonsus Inyang described the plan as a turning point for inclusion but stressed the importance of sustained engagement across the value chain.
From a research perspective, Gold Leonard Isona highlighted the role of innovation and technology in boosting productivity and achieving self-sufficiency.
International partners have also expressed support. A representative of the Council of Palm Oil Producing Countries described Nigeria as a high-potential player capable of scaling sustainable production and competing globally.
Despite the optimism, Nigeria still spends an estimated $600 million annually on palm oil imports, underlining the urgency of closing the domestic supply gap.
Analysts say the success of the strategy will depend on disciplined execution, clear timelines, and strong accountability, as the country seeks to reclaim its position in the global palm oil market.
