By our Reporter
Presco Plc has announced plans to invest an initial $200 million in Ondo State to establish large-scale oil palm plantations, a processing mill and an edible oil refinery, in a move expected to boost agricultural production, industrialisation and job creation in the state.
The investment plan was unveiled on Friday during a courtesy visit by the company’s management to Governor Lucky Orimisan Aiyedatiwa at the Governor’s Office in Akure.
Governor Aiyedatiwa assured the investors of the state government’s commitment to providing a conducive business environment, including land allocation, adequate security and expedited approvals to ensure the smooth implementation of the project.
Chief Executive Officer of Presco Plc, Rasheed Sarumi, described the company’s expansion into Ondo State as a “homecoming,” noting that the move marks Presco’s 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 explained that the decision to invest in the state was driven by the investor-friendly policies of the Aiyedatiwa administration and noted that Presco is a subsidiary of the SIAT Group, whose Group Chief Executive Officer, Adewale Arikawe, is an indigene of Ondo South Senatorial District.
Sarumi highlighted Nigeria’s significant crude palm oil deficit, estimated at nearly one million tonnes, stressing that the new investment would contribute to reducing reliance on imports while supporting the production of edible oil, soaps, cosmetics and other palm oil derivatives.
“Edible oil is one of the top four things people buy on the shelf when they go to the market every day, so it is essential that we should be able to produce it locally,” he said.
He disclosed that Presco operates under the globally recognised Responsible Sustainable Palm Oil (RSPO) certification, which requires strict adherence to environmental, social and community engagement standards before operations begin.
According to him, the company must obtain the free, prior and informed consent of host communities, establish clear operational boundaries and implement community development plans, warning that failure to meet these standards could result in the loss of its RSPO certification.
Sarumi also revealed that Presco has operations in Nigeria, Ghana, the United States, China and Belgium, where the SIAT Group is headquartered.
He added that the Ondo investment would include the establishment of an oil palm processing mill and refinery as part of the company’s long-term expansion strategy.
“There will be a mill there and there will also be a refinery here,” he said.
Responding, Governor Aiyedatiwa welcomed the investment, describing Presco as a globally recognised company whose presence would further strengthen Ondo State’s reputation as a leading destination for agricultural investment.
The governor noted that while Ondo currently accounts for about 40 per cent of Nigeria’s cocoa production, the state’s partnership with Presco would enhance its position as a major oil palm-producing hub.
He assured the company that the Ondo State Development and Investment Promotion Agency (ONDIPA) would facilitate all necessary documentation and remove bureaucratic bottlenecks to fast-track the project.
“I’ve already made up my mind that Presco must have a place there. We will be mapping out where we are going to give to you that will not be troublesome and will be safe,” Aiyedatiwa said.
He also assured the investors of adequate security, describing Ondo as one of the safest states in the country for agricultural investments.
“Your investment will be safe, and it will be shared prosperity at the end of the day,” the governor added.
Speaking with journalists after the meeting, SIAT Group Chief Executive Officer, Adewale Arikawe, said the investment aligns with the Aiyedatiwa administration’s economic transformation agenda.
“We are looking at an investment of about $200 million to start with. We do plantation, we do a fully integrated edible oil business, and that is what we have brought to the state,” Arikawe said.
He added that the project would stimulate rural development, deepen industrialisation, create employment opportunities and drive inclusive economic growth across Ondo State.
Also present at the meeting were the Secretary to the State Government, Dr Taiwo Fasoranti; Chief of Staff to the Governor, Prince Segun Omojuwa; Chief Executive Officer of ONDIPA, Barr. Emmanuel Omomowo; and Chairman of the Ondo State Agribusiness Empowerment Centre (OSAEC), Wemimo Akinsola.
