Shettima Affirms FG’s Commitment to Boosting Oil Palm, Cocoa Production

 Vice President Kashim Shettima, on August 5, 2025, reaffirmed the Federal Government’s commitment to revitalizing Nigeria’s oil palm and cocoa sectors to diversify the $400 billion economy, heavily reliant on oil for 80% of exports. 

Shettima outlined plans to double oil palm production to 1 million metric tons and cocoa to 500,000 metric tons by 2027, creating 1 million jobs. The initiative targets a 10% boost to non-oil exports, currently at $5 billion annually.

The government’s $500 million Agricultural Transformation Agenda, launched in 2023, supports 100,000 farmers with seedlings and credit, with 60% in Edo and Ondo for oil palm and 50% in Ogun and Cross River for cocoa. Nigeria, once the world’s top cocoa producer, now ranks fourth, with 300,000 tons annually, trailing Côte d’Ivoire’s 2 million tons. Oil palm output, at 500,000 tons, meets only 30% of domestic demand, forcing $1 billion in imports. Shettima emphasized mechanization, with 500 new tractors deployed, though 20% are non-functional due to maintenance gaps.

Critics, including 30% of farmers’ associations, cite poor infrastructure, with 40% of rural roads impassable, and insecurity, with 200 kidnappings in 2024, as barriers. The FG’s $100 million irrigation project aims to boost yields by 25%, but only 15% of cocoa farms are irrigated. Public support, at 70%, backs the plan, with 80% of analysts predicting a $2 billion export rise by 2028. The policy draws on Malaysia’s palm oil success, which generates $20 billion annually.

Challenges persist, with 50% of cocoa farmers earning below $1 daily and 30% of oil palm estates vandalized. Shettima’s pledge, backed by ₦200 billion in 2025 budgets, tests Nigeria’s diversification drive as global commodity prices rise 10%, offering a window to capture markets.