Palm oil is the most produced and consumed oil product in Nigeria. However, there is a supply deficit of 0.5million tons. Over 80% of production and processing is done by small-scale farmers and processors who employ inefficient and poor production and processing practices resulting in low productivity on-farm, low quality, and low oil extraction rates during processing.
The partnership between Okomu and 2SCALE aims to expand production of quality palm oil from 40,000 tons annually to 80,000 tons by investing in the construction of two new palm oil mills within Okomu’s estates, with a combined processing capacity of 60 tones per hectare. To meet its demand for raw material, Okomu plans to integrate 5,000 smallholder farmers. Another aspect of the inclusive business idea is to reach 30,000 BoP consumers with high-quality Banga cooking oil.
