The Plantation Owners Forum of Nigeria (POFON) has announced strategic measures aimed at stabilising the price of crude palm oil (CPO) across the country in 2025, amid rising inflation and the escalating cost of living.
Chairman of POFON, Mr Emmanuel Ibru, revealed the forum’s decision during a media briefing held after its meeting in Benin City. He emphasised that the initiative is geared towards ensuring the affordability of palm oil for Nigerian households throughout the year, regardless of seasonal fluctuations in production.
“In Nigeria, we have two seasons for palm oil. When it is peak season, prices go down, and when it is lean season, prices go up,” Ibru said. “Our members are trying to see what they can do this time to stabilise prices so that there is no significant difference between peak and lean season prices.”
Ibru, who also serves as the Chief Executive Officer of Aden River Estates Limited, an agro-industrial subsidiary of the Ibru Organisation, stated that forum members have resolved to maintain consistent pricing throughout the year.
“We are not unaware of the inflationary trends. We know that the cost of inputs is rising, but despite that, it is also our duty to ensure that we maintain a satisfactory price profile in the market,” he added.
According to him, stabilising prices aligns with broader national efforts to restore economic stability. “Just as the Nigerian government is working to stabilise the country’s economy, POFON is committed to ensuring that palm oil prices remain stable,” he said.
To support this goal, Ibru disclosed that POFON members are actively expanding their plantation capacities to bridge the gap between local demand and supply.
“There is no doubt that there is still a gap in the supply and demand of palm oil in Nigeria, but POFON and its members over the last 10 to 15 years have made tremendous efforts to increase the production of oil palm in the country,” he explained.
He highlighted the contribution of key players in the sector, including Presco and Okomu, which have continued to invest in expanding their holdings. He also acknowledged the entry of new players such as Dufil, Saro Africa, and Wilmar.
“Saro Africa has developed around 20,000 hectares in Edo State. Wilmar has just acquired the shareholding of PZ Wilmar from their former joint partner and is in the process of developing another 8,500 hectares, bringing their holdings in Nigeria to close to 50,000 hectares,” he noted.
“JB Farms has increased its holdings in Cross River State and is also developing another 10,000 hectares in Ondo State. Agric Palm has also continued to expand its operations. In addition, there are new entrants who have secured land and plan to commence development within the next one to two years,” Ibru said.
He revealed that Nigeria’s annual crude palm oil production has increased significantly, from around 900,000–1 million tonnes about eight years ago to between 1.4 million and 1.5 million tonnes today—a 50 percent growth.
Despite these gains, Ibru stressed that more needs to be done. He said POFON is collaborating with relevant government agencies to develop a comprehensive roadmap for the sustainable development and financing of the oil palm sector.
He emphasised that the roadmap would cater not only to large-scale producers but also to small and medium-scale farmers.
Addressing the challenge of seasonal price swings, Ibru reiterated that lower supply during lean seasons typically drives prices up, while higher supply during peak seasons results in price drops.
He concluded by stating that although Nigeria is currently the largest producer of palm oil in Africa and the fifth globally, it must expand its oil palm cultivation to at least 500,000 hectares to meet domestic demand and improve efficiency.
