Nigeria unveils strategy to revive palm oil sector, targets 10% global market share

Nigeria has unveiled a national strategy to revive its palm oil sector, aiming to secure a 10% share of the global market, create up to 2 million jobs within six years, and achieve self-sufficiency by 2050. The initiative is designed to restore the country’s former leadership in the industry.

The strategy was presented during a validation meeting organized by the Federal Ministry of Agriculture and Food Security in Abuja. It focuses on strengthening food security, driving rural transformation, supporting industrial growth, and diversifying exports.

A central component is the long-term Oil Palm Development Policy and Strategy (2026–2050), which outlines measures to expand cultivated areas, improve yields, and modernize processing infrastructure. The plan also includes institutional reforms to enhance sector governance and attract private investment.

Key reforms include the establishment of a National Palm Oil Council and dedicated financing mechanisms, such as a sector development fund and targeted support for smallholders. Small farmers, who account for over 80% of production, will benefit from improved seedlings, training in climate-smart practices, and financial incentives for replanting.

Among the priority initiatives are planting 100 million oil palm trees, upgrading outdated mills, and launching the National Palm Oil Traceability System (NaPOTS) to meet export standards and improve product transparency. Industry groups have also pledged to expand plantation areas by 1.5 million hectares by 2029.

Currently, domestic production meets only about 75% of demand, with the shortfall covered by imports, mainly from Malaysia. According to the USDA, Nigeria’s palm oil output is expected to reach 1.5 million tonnes in 2026, while demand stands at 1.95 million tonnes. Successful implementation of the strategy could strengthen Nigeria’s global position and move it closer to industry leaders.

Tags: palm oil, Nigeria