By Faridat Salifu
Ondo State is set to strengthen Nigeria’s domestic edible oil production following a $200 million investment by agro-industrial company Presco Plc to establish integrated oil palm plantations and processing facilities in the state.
The investment was announced on Friday, during a courtesy visit by the company’s management to Governor Lucky Aiyedatiwa at the Governor’s Office in Akure, where the state government pledged land allocation, security and expedited approvals to facilitate the project’s implementation.
The project, which includes large-scale oil palm plantations, a palm oil mill and a vegetable oil refinery, is expected to boost local production as Nigeria continues to face an estimated one million metric tonne deficit in crude palm oil.
Chief Executive Officer of Presco Plc, Rasheed Sarumi, said the company’s expansion into Ondo represents a return to the South-West after years of operating elsewhere in Nigeria.
He said Nigeria’s growing demand for edible oil makes increased local production necessary, noting that crude palm oil is a key raw material for manufacturing edible oils, fats, soaps, creams and cosmetics.
Sarumi said the investment was encouraged by the state’s business-friendly environment and described it as a project that would create shared economic benefits for investors, host communities, the state and the Federal Government.
He added that Presco operates under the Roundtable on Sustainable Palm Oil (RSPO) certification, which requires strict environmental protection, social safeguards and community engagement before plantation development begins.
According to him, the company must obtain the free, prior and informed consent of host communities, establish clear land boundaries and implement community development plans to maintain its sustainability certification.
Presco is a subsidiary of the SIAT Group, which has operations in Nigeria, Ghana, the United States, China and Belgium.
Governor Lucky Aiyedatiwa said the investment would strengthen Ondo State’s position as a major agricultural hub, adding that the state already produces about 40 per cent of Nigeria’s cocoa.
He assured the investors that the Ondo State Investment Promotion Agency would fast-track all required approvals while eliminating bureaucratic delays.
The governor also pledged adequate security and suitable land for the project, describing Ondo as one of Nigeria’s safest destinations for agricultural investment.
Group Chief Executive Officer of SIAT Group, Adewale Arikawe, said the investment aligns with the state’s economic transformation agenda and would establish a fully integrated edible oil production business in Ondo.
