From Struggle to Success: Why Imo & Cross River Should Learn from Okomu & Presco’s Palm Oil Model
Nigeria’s privatised palm oil companies, Okomu and Presco, have become shining examples of how private capital, efficient management, and disciplined governance can transform agro-industrial ventures into highly profitable businesses. Their success serves as a compelling blueprint for states like Imo and Cross River.
The State of Public Palm Estates
• Adapalm Plantation (Imo): Nigeria’s oldest and largest palm oil estate, spanning 6,000 hectares. Once a top agro-industrial venture, years of mismanagement and corruption caused output to drop to less than 30% of its peak of 16,000 tons/year.
• Dakkada Oil Palm (Akwa Ibom): 3,000 hectares, similarly abandoned and poorly managed.
“The government has never run any business efficiently in the country,” said Alphonsus Inyang, president of the National Palm Produce Association of Nigeria (NPPAN).
“Imagine the number of jobs and production we would have gained if these estates were run like Okomu and Presco.”
Okomu & Presco: Success Stories
• Okomu: Established in 1976 as a federal project, privatised in 1990, and listed on the Nigerian Stock Exchange in 1991. Today, it is Nigeria’s leading palm oil company with a market capitalization of ₦1.06 trillion and a share price of ₦1,110 (as of Sept 2025).
• Presco Plc: Acquired and developed several large estates, including former state assets like Cowan Estate, and transformed them into profitable ventures.
• Both companies saw over 100% rise in profit after tax in H1 2025.
Why Privatisation Works
• Private capital injects efficiency and professionalism.
• Market-focused business models drive higher productivity.
• Disciplined governance ensures long-term sustainability.
“Private operators often bring clearer return-orientation, robust agronomic systems, and alternatives to chronically underfunded state-run estates,” said Joe Onyiuke, national president, Oil Palm Growers Association of Nigeria.
Lessons for Imo & Cross River
• Privatisation could revitalize Adapalm and Dakkada estates, unlocking jobs, production, and economic growth.
• Past examples like PZ Cussons’ 2010 revamp of Calaro Oil Palm Estate in Cross River show the potential of public-private partnerships.
Bottom Line: Efficient, professionally managed, and privatized palm oil estates can transform Nigeria’s agricultural landscape, creating jobs, boosting production, and attracting investment.
Nigeria’s privatised palm oil companies, Okomu and Presco, have become shining examples of how private capital, efficient management, and disciplined governance can transform agro-industrial ventures into highly profitable businesses. Their success serves as a compelling blueprint for states like Imo and Cross River.
The State of Public Palm Estates
• Adapalm Plantation (Imo): Nigeria’s oldest and largest palm oil estate, spanning 6,000 hectares. Once a top agro-industrial venture, years of mismanagement and corruption caused output to drop to less than 30% of its peak of 16,000 tons/year.
• Dakkada Oil Palm (Akwa Ibom): 3,000 hectares, similarly abandoned and poorly managed.
“The government has never run any business efficiently in the country,” said Alphonsus Inyang, president of the National Palm Produce Association of Nigeria (NPPAN).
“Imagine the number of jobs and production we would have gained if these estates were run like Okomu and Presco.”
Okomu & Presco: Success Stories
• Okomu: Established in 1976 as a federal project, privatised in 1990, and listed on the Nigerian Stock Exchange in 1991. Today, it is Nigeria’s leading palm oil company with a market capitalization of ₦1.06 trillion and a share price of ₦1,110 (as of Sept 2025).
• Presco Plc: Acquired and developed several large estates, including former state assets like Cowan Estate, and transformed them into profitable ventures.
• Both companies saw over 100% rise in profit after tax in H1 2025.
Why Privatisation Works
• Private capital injects efficiency and professionalism.
• Market-focused business models drive higher productivity.
• Disciplined governance ensures long-term sustainability.
“Private operators often bring clearer return-orientation, robust agronomic systems, and alternatives to chronically underfunded state-run estates,” said Joe Onyiuke, national president, Oil Palm Growers Association of Nigeria.
Lessons for Imo & Cross River
• Privatisation could revitalize Adapalm and Dakkada estates, unlocking jobs, production, and economic growth.
• Past examples like PZ Cussons’ 2010 revamp of Calaro Oil Palm Estate in Cross River show the potential of public-private partnerships.
Bottom Line: Efficient, professionally managed, and privatized palm oil estates can transform Nigeria’s agricultural landscape, creating jobs, boosting production, and attracting investment.