INNOVATIVELY CREATING VALUES FROM THE PALM VALUE CHAIN AND BUILDING UP THE RURAL ECONOMY WITHOUT ANY GOVERNMENT FUNDING COMMITMENTS.

As at October 1965, Nigeria controlled over 45% of the global crude palm oil value chain market .

As at December 31, 2018, the global crude palm oil value size was $88billion . The global palm kernel oil market was $11.3billion . We have not yet factored in the values of the palm kernel cakes that are utilized for animal feeds, the palm kernel shells for furniture making, the palm bunch fibre for vehicle upholstery , the palm roots for potash and the palm fronds for cattle fodder and hays.

Just imagine for once, if Nigeria had not abandoned this red gold and gone in pursuit of the black fossil fuel where we would have been today in the global supply height on this product alone .

Investment returns in this key cash crop is comparatively high, lucrative and generationally self liquidating . Once you plant the high yielding Tenera or Super gene or other species/varieties , it’s always submitted and given that your next generations will reap from it.

Palm trees and products outlives its owners and it”s prices are not influenced mainly by downturns in the economies of the country where it is located, because it’s an international commodity like crude oil. It is one of the most profitable oil yielding crop per hectare. Its value chain products are used in over 150 manufacturing lines , both food and healthcare.

As at Thursday , October 31, 2019, the CPO prices in Rotterdam closed at $660 per tonne PALM-MYCRD-C1 , while Malaysia’s palm oil futures hit a 19-month high this week. In the local markets in Nigeria, a ton of the crude palm oil sold for $821 (cheapest prices , which our market survey found in Delta state and Anambra state)

Interestingly and comparatively , a ton of the very expensive sweet Brent crude oil closed at $421 .

The price of a ton of the CPO, FOB is projected to rise to about $750 by the second quarter of 2020.

The average price of a ton the CPO over the last 10 years has consistently always been above that of the crude fossil fuel price by over 150%

LET’S LOOK AT THE NUMBERS TO SHOW YOU WHAT WE ARE MISSING AS A PEOPLE, ESPECIALLY , THOSE FROM THE SOUTH EAST AND SOUTH SOUTH.

1 hectare of the Tenera or Supergene specie made up of 143 trees per hectare will yield an average of 3.9 tons of crude palm oil ; 0.7tons of the Palm Kernel Oil: One ton of the palm kernel shells and one ton of the palm bunch fibre .

  1. PROCEEDS FROM CRUDE PALM OIL

10,000 hectares of palm plantation will yield 3.9 metric tons X 10,000 = 39, 000 metric tons

As at October 31st 2019, price was $660 per metric tons

39,000 X $660 =US$25,740,000 or N9.3billion

  1. PROCEEDS FROM PALM
    KERNEL OIL

1 hectare of palm plantation will yield an average of 0.7tonnes

10,000 hectares of palm plantation will yield

0.7 X 10,000 = 7000 metric tons

As at October 31st, 2019 a metric ton of palm kernel oil sold for $630

7,000 * $630 = $4,410,000.00 or N1,596,420,000.00

  1. PROCEEDS FROM PALM
    KERNEL SHELLS, FIBRES AND
    CAKES

Proceeds from these other palm value chains for a 10,000 hectare land will conservatively yield over $4m or N1.4billion

Cumulatively and conservatively, 10,000 hectares of palm plantations and value chain , will yield about N12billion ; create over 6000 direct jobs and 15 Small Scale Palm Processing factories in any given state.

OUR CREATIVE OFFERS

No government fiscal revenue intervention is needed. Any government appointee asking his governor to bring public funds to do agro revolution in any state in the South East or South South is only angling to have a chop of his own share of the states crude oil revenue allocations.

We are offering a unique Missions , Community, Individuals , Private and Public Partnership that works transparently. A unique proposition that grows our rural economy and stems rural urban migration .

As long as you have up to 1 hectare of land , individual or community, we can help you to access all the funding and technical supports that you need to cultivate the high yielding Supergene or tenera palm specie that can start producing fresh fruit bunch in under 36 months.

We shall set up a fully automated small scale palm oil processing mill with name plate capacity of 5tons per hour input capacity i.e. 13,200 metric tons capacity per annum in every cluster of communities or locations , where we can have up to 600 hectares of palm plantations.

All you need to do as an individual or community is to log onto our website

to register or contact us for guidance. We are already partnering with some serious governments to drive this process in their states .

10,000 new hectares of the palm value chain in each of the 5 south east states under this unique MCIPPP architecture will add over N60billion to the economy of the South East, create over 30,000 direct jobs , build up our rural economies, rev up the IGRs and mitigate rural urban migration .

We are replicating the same model in rice production, cassava value chain, Maize and legumes.

All that we need from the government and government agents are the enabling policy and security supports to create values for our people. We must not wait for Abuja to build up ala Igbo . We must be weary of agents , who want to drive processes that will line their pockets from the public purse. Public sector driven processes that will not add sustainable and incremental values to our people, especially, to those at the lowest base of the economic pyramid. Governments are not supposed to drive enterprise establishments and growth . Just enable the creative private sector and go to bed with a rebuilt economy .

God help us

OBIARAERI, Nnaemeka Onyeka
nnaemeka.obiaraeri@sefapcol.com
09090900989

NB: These Unique Projects Design, Structure, Funding and Execution Architecture under these schemes and agro value chains are our own very intellectual property. Trying to do caricature versions of it will never work 😊😊.

Call us for a win win projects deliverables for everyone.

share this post

TS2U5 Lekki Garden Phase 4, Lagos. Nigeria. +2348033333333
 
Copyright © 2019 | SEFAPCOL™