FOR  the local oil palm industrial sector in the country to survive and get to the next level of exportation of produce, and its processed variants, the dumping of crude palm oil from Asian countries and tactically, ECOWAS nations should be nipped in the bud.

In a unified voice, the Minister of Agriculture and the Plantation Owners Forum of Nigeria (POFON) are against any reduction of tariff from 35 per cent or granting of waivers on crude palm oil importation.

The minister, Dr. Akinwumi Adesina, in addressing Oil Palm Business groups in Abuja recently said that the performances of the stock of Okomu Oil Company Plc and Presco Plc at the Nigerian Stock Exchange were quite encouraging for the agriculture sector therefore, it would serve the nation better to stimulate growth and development of the rural areas as well.

A communiqué released by POFON after a stakeholders’ meeting in Benin City shows that it is disturbed by the reports of concession and waivers being granted to traders to import CPO and refined products, in spite of the 35 per cent tariff. It reminded the President and minister of Agriculture that any such moves would be in ‘flagrant disregard to the assurances given during FG’s budget speech not to grant concession and waivers to import commodities that we have the capacity to produce in the country.’

Adesina said, “The fact that we are having a discussion on whether we should lower tariff, so that we could be importing makes absolutely no sense… it is shameful to talk of importing CPO; we should be exporting.”

The Minister said there is nothing stopping the ECOWAS Trade Liberation Scheme (ETLS) from being re-visited since it appears, from statistics, that there is a disguise applied to dump CPO in Nigeria especially from Benin Republic, Ghana and Ivory Coast.

So far, according to the minister, 1.4 million sprouted nuts of the high yielding Tenera seedlings were distributed free. This is to help farmers recapitalize and revive their farms.

However, on the heels of the meeting by plantation owners, the resolve to deal with, ‘the collapse of the domestic palm oil market and the survival of the business,’ was to pursue the following options:

POFON Intervention – to increase oil palm production and enhancing CPO supply in Nigeria. Towards this, POFON members according to the communiqué, have embarked on the on-going projects:

• NIFOR to continue and sustain oil palm seed/seedling distribution to small holders and estates under Oil Palm Transformation Agenda.

• Okomu Oil Palm Company Plc to continue its milling capacity upgrade by 70 per cent from 35 tons FFB/hr to 60 ton FFB/hr.

• SIAT to continue and sustain the rehabilitation of former Risonpalm to increase supply of industrial quality CPO.

• PZ-Wilmer to achieve 50,000ha plantation including their holdings in Biase Ltd and Eyop Industries plus accelerated small farmer schemes.

• Presco to continue its plantation expansion at Ologbo

• DANSA Agro to commence planting of its initial 10,000ha plantation this planting season and JB farms to complete its milling capacity expansion and start additional Greenfield development.