Presco targets Ondo with $200m oil palm investment, as Aiyedatiwa pledges investor-friendly climate
By Julius Alabi, Akure
Ondo State’s drive to deepen agricultural industrialisation received a major boost as Presco Plc unveiled plans to invest an initial $200 million in large-scale oil palm plantations, alongside the establishment of a processing mill and refinery in the state.
The disclosure was made during a courtesy visit by the management of the agro-industrial giant to Governor Lucky Orimisan Aiyedatiwa in Akure, where the governor assured the company of a conducive investment climate, including access to land, robust security and accelerated approvals.
Presco Plc’s Chief Executive Officer, Mr Rasheed Sarumi, described the company’s planned expansion into Ondo State as a strategic “homecoming,” noting that the move signals a return to the South-West after years of operating outside the region.
“Coming to Ondo State is a sort of homecoming for us. Ondo State, from today, is part of the Presco Plc network,” Sarumi said.
He attributed the decision to invest in the state to the investor friendly policies of the Aiyedatiwa administration, adding that Presco, a subsidiary of the SIAT Group, is well positioned to drive value across the oil palm value chain.
Sarumi highlighted Nigeria’s growing deficit in crude palm oil, estimated at nearly one million tonnes, stressing that the proposed investment would help bridge the supply gap and reduce dependence on imports.
“Edible oil is one of the top four things people buy daily. It is essential that we produce it locally,” he said.
The Presco boss further noted that the company operates under the globally recognised Responsible Sustainable Palm Oil (RSPO) certification, which mandates strict adherence to environmental sustainability, community engagement and social responsibility standards.
He explained that the company would secure the free, prior and informed consent of host communities, establish clear operational boundaries and implement community action plans as part of its commitment to sustainable practices.
Sarumi added that Presco’s operations span Nigeria, Ghana, the United States, China and Belgium, where the SIAT Group is headquartered, underscoring the firm’s global footprint and technical capacity.
“There will be a mill there and there will also be a refinery here,” he said, noting that the Ondo project forms part of the company’s long-term expansion strategy aimed at delivering shared prosperity.
Responding, Governor Aiyedatiwa described Presco as a globally recognised brand whose presence would reinforce Ondo State’s growing reputation as a prime destination for agricultural investment.
While noting that the state already accounts for about 40 per cent of Nigeria’s cocoa production, the governor said the new investment would further position Ondo as a leading oil palm hub.
“I’ve already made up my mind that Presco must have a place there. We will be mapping out land that will not be troublesome and will be safe,” Aiyedatiwa said.
He assured the company that the Ondo State Investment Promotion Agency would fast-track all documentation and remove bureaucratic bottlenecks to ensure the timely take-off of the project.
The governor also reiterated his administration’s commitment to guaranteeing the security of investments, describing Ondo as one of the safest states in the country.
“Your investment will be safe, and it will be shared prosperity at the end of the day,” he assured.
Also speaking, the Group Chief Executive Officer of SIAT Group, Mr Adewale Arikawe, said the project aligns with the state government’s economic transformation agenda.
“We are looking at an investment of about $200 million to start with. We operate a fully integrated edible oil business, and that is what we are bringing to Ondo State,” Arikawe said.
He added that the investment would stimulate rural development, boost agro-industrial activities, create jobs and contribute significantly to inclusive economic growth.
Top government officials at the meeting included the Secretary to the State Government, Dr Taiwo Fasoranti; Chief of Staff to the Governor, Prince Segun Omojuwa; Chief Executive Officer of the Ondo State Development and Investment Promotion Agency (ONDIPA), Barr. Emmanuel Omomowo; and Chairman of OSAEC, Mr Wemimo Akinsola.
