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Palm oil in Nigeria - 22nd October 2021
Palm oil is in many products. It’s an essential ingredient in foods and skincare. In Nigeria, the palm oil industry provides people with work.
Nigeria used to produce large quantities of palm oil. But now, it buys in most supplies from abroad. The government wants to change this and increase palm oil production. So the central bank is lending money to help palm oil farmers and producers. Graham Hefer describes how this has helped his company, Okomu Oil.
Graham Hefer: "We’ve been privileged enough to, to get a loan, it has certainly helped us, it has, it has helped us to develop our new extension."
Okomu Oil is a large company. But most of Nigeria's palm oil doesn't come from large companies. 70 percent is made by small producers and farmers.
Smaller companies want to receive the government’s new financial help. But they can’t get the banks to give them the money.
Micah Ojo, a palm oil farmer, explains the problem.
Micah Ojo: "At the end of the day after we filled in forms, whatever we did, at the end of the day the loan never came to us. It does not come down to the real local farmers, that is the problem we are facing."
People in many countries complain about the palm oil industry. It destroys forests and its working conditions are often poor. But Ojo disagrees. He says it offers people work, which benefits local communities.
Micah Ojo: "We need the government to come to our aid to assist us so that we can also give back to society by employing more workers then they can feed their families and others."
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