Kayode Tokede narrates how the immediate past governor of Edo State, Mr Godwin Obaseki took deliberate, bold, and strategic steps to leverage the hidden potential that laid in the oil palm sector, years before its current boom started to unravel in Nigeria.
Rising demand for oil palm in Nigeria is quietly driving a boom in the production of the commodity, with Edo State emerging as major hub.
The production of the industrial crop has taken a centerstage and has become a veritable source of economic growth in a largely gloomy Nigerian economy, where several sectors are underperforming.
Crude oil production and output is declining, subsistence farming is also taking a hit because of worsening insecurity across the country, while the manufacturing sector continues to reel under the pressure of inflation and escalating production costs, amid other facets of the economy in dire straits.
But one man, Godwin Obaseki, had the foresight and saw through the fog, taking deliberate, bold, and strategic steps to leverage the hidden potential that laid in the oil palm sector, years before its current boom started to unravel in Nigeria.
As governor of Edo State between 2016 and 2024, Obaseki set out to create a thriving sector that will not only boost economic activities but also generate revenue and provide employment opportunities, having envisioned its potential as a driver of sustainable economic growth and development.
He therefore started a quiet revolution in the sector, engaged the Central Bank of Nigeria (CBN) for a N69 billion funding facility and established the Edo State Oil Palm Programme (ESOPP), aimed at de-risking the oil palm value chain by providing contiguous land to investors for sustainable production.
Under the scheme, over 120,000 hectares of land were allocated for oil palm development, with over $500 million in investment attracted, the largest of its kind in sub-Saharan Africa.
Having achieved significant success in Edo State, Obaseki initiated conversations to export the state’s revolutionary oil palm estate development model to neighboring States, in a bid to promote food self-sufficiency and diversify Nigeria’s economy.
The result of this novel approach is that several months after his exit from office, Edo State and indeed Nigeria is still reaping the rewards of bold, visionary leadership in the oil palm sector.
As of today, Edo, along with its sister State, Delta have continued to attract new investments in palm plantations and refineries from existing and new players, positioning them as key contributors to Nigeria’s agricultural growth.
The boom in the both States has not only helped in reducing the country’s palm oil imports, but also creating jobs, boosting rural development, and enhancing food security.
Investors are already earmarking an additional $855 million dollars for oil palm cultivation in Edo.
Apart from Okomu and Presco, the two largest agric companies quoted on the Nigerian Stock Exchange, who benefited from Obaseki’s nuanced reforms to expand their hectarage and investment in Edo, the State today plays host to over ten new companies that have been allocated land including Dufil Prima Foods, the makers of Indomie Noodles; Saro Oil Palm; Farm Forte, Flour Mills Nigeria Plc; an American Company called Fayus, and Saturn Farms, among others.
Beyond transforming the State’s oil palm industry into a multi-billion-dollar sector, on the back of Obaseki’s investment in the oil palm sector, Edo State is today reputed to have the largest area of land under oil palm cultivation in Africa.
The state is also Nigeria’s leading oil palm producer, contributing about 12 per cent of the country’s aggregate palm oil production, closely followed by Akwa Ibom and Cross River States.
If not anything, Obaseki has positioned Edo State as a shining example of agricultural excellence in Nigeria and Africa, placing them as a major hub to benefit from the ongoing oil palm boom.
This is why Obaseki’s investment acumen greatly served the people of Edo State during his eight-year stint as governor. His strategic foresight and visionary leadership is a model that should be emulated. He is the man who saw and leveraged the future boom of oil palm industry.
Governors must look beyond the monthly revenue allocations from Abuja and proactively identify areas of potential economic growth, and begin to harness and organise invest in these sectors, just as Obaseki did with the oil palm industry in Edo, so as to unlock sustainable development and prosperity for their States and the country.
THISDAY
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