Nigeria’s palm oil sector is steadily regaining momentum, with national production rising to 1.57 million tonnes in 2025, a clear sign of progress in an industry deeply rooted in the country’s history. The figure was disclosed during a visit to Abuja by the Council of Palm Oil Producing Countries (CPOPC) and confirms a five-year growth trend that has lifted output from 1.28 million tonnes in 2020, renewing focus on Nigeria’s long-term place in the global vegetable oil market.
This progress is unfolding alongside rising demand as local consumption increased from 2.45 million tonnes in 2020 to 2.61 million tonnes in 2025, leaving a supply gap of more than one million tonnes each year. To bridge this shortfall, Nigeria spends an estimated $600 million annually on palm oil imports, despite oil palm being indigenous to West Africa and Nigeria once ranking among the world’s leading producers before Southeast Asian countries advanced through large-scale investment and modernisation.
Encouragingly, the sector’s recovery is also reflected in corporate performance as Okomu Oil Palm Company Plc reported a pre-tax profit of ₦87.3 billion in 2025, a 63.64 percent increase from ₦53.3 billion in 2024, according to its unaudited financial statements. Presco Plc delivered even stronger results, posting a pre-tax profit of ₦178.56 billion, up 57.3 percent from ₦113.53 billion the previous year, based on unaudited figures filed on January 30, 2026. These outcomes highlight how large, well-structured Nigerian producers are benefiting from improved yields, expanded plantations, and strong domestic demand.
Still, the foundation of Nigeria’s palm oil industry remains its smallholder farmers, who account for more than 80 percent of national output. Many continue to work with aging trees, limited access to improved seedlings, and outdated processing methods, factors that keep productivity low and reduce efficiency across the value chain.
The Secretary-General of CPOPC, Izzana Salleh, noted that oil palm’s origins in West Africa give Nigeria a strong basis to rebuild competitiveness through closer cooperation among producing nations, while protecting farmer livelihoods, strengthening food security, and promoting balanced, development-focused sustainability standards. Dr. Alphonsus Inyang, President of the National Palm Produce Association of Nigeria, added that full membership in CPOPC would open access to better technology, hybrid planting materials, and training programmes that could raise oil extraction rates for both palm oil and palm kernel.
Reaching 1.57 million tonnes marks meaningful progress, but rising consumption continues to absorb most of the gains. The strong financial results recorded by Okomu and Presco show that Nigerian companies are well positioned to drive further growth.
Turning this momentum into self-sufficiency will depend on faster productivity improvements, replanting programmes, modern processing, improved rural infrastructure, and consistent policy support across the entire palm oil value chain.
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