Ondo State has secured a major investment commitment in its drive to expand agricultural production and industrial development, with Presco Plc announcing plans to inject an initial $200 million into oil palm cultivation and processing in the state.
The investment, which will cover the development of large-scale oil palm plantations, a processing mill and a refinery, was unveiled during a meeting between the management of the company and Governor Lucky Aiyedatiwa in Akure on Friday.
The development is expected to strengthen Ondo State’s position as one of Nigeria’s leading agricultural hubs while creating jobs, boosting local production and stimulating economic activities across host communities.
Leading the Presco delegation, the company’s Chief Executive Officer, Rasheed Sarumi, said the decision to establish operations in Ondo was influenced by the state’s favourable investment climate and the support being provided by the current administration.
Describing the move as a return to the company’s roots, Sarumi noted that Ondo State has now become a strategic part of Presco’s expansion plans.
According to him, the project is aimed at increasing Nigeria’s crude palm oil production at a time the country continues to face a significant supply shortfall despite rising demand from manufacturers of edible oils, cosmetics, soaps and other consumer products.
He explained that the company would establish a fully integrated oil palm business in the state, covering cultivation, processing and refining, thereby ensuring value addition within the local economy.
Sarumi also stressed that Presco’s operations would be guided by internationally recognised sustainability standards, including extensive engagement with host communities and strict environmental compliance measures.
The company, he said, operates under the Responsible Sustainable Palm Oil (RSPO) certification framework, which places strong emphasis on community participation and sustainable land use.
Governor Aiyedatiwa, while welcoming the investment, described it as a vote of confidence in Ondo State’s economic potential and investor-friendly policies.
The governor assured the company of government support, including access to suitable land, security for investments and the removal of bureaucratic obstacles that could delay implementation.
He said relevant agencies of government, particularly the Ondo State Development and Investment Promotion Agency (ONDIPA), would work closely with the investors to ensure a smooth take-off of the project.
Aiyedatiwa noted that Ondo already plays a dominant role in Nigeria’s agricultural sector through cocoa production and expressed optimism that the Presco project would further position the state as a major player in the nation’s oil palm industry.
He maintained that the state remains one of the safest destinations for agricultural investment and pledged that the government would continue to create an enabling environment for businesses to thrive.
Speaking after the meeting, Group Chief Executive Officer of SIAT Group, Adewale Arikawe, said the proposed investment aligns with the state’s vision for economic transformation and rural development.
Arikawe disclosed that the initial phase of the project is valued at about $200 million, adding that the investment would support industrialisation, create employment opportunities and generate economic benefits for both the state and host communities.
He said the integrated nature of the project would not only increase palm oil production but also strengthen local value chains and reduce dependence on imported products.
The investment marks one of the largest private-sector commitments to Ondo State’s agricultural sector in recent times and is expected to further reinforce efforts by the Aiyedatiwa administration to attract investors into key areas of the economy.