Tag: palm oil

  • Consumers beware of adulterated palm oil

    The news that went round, last week, warned consumers to stay away from any palm oil originating from Ghana. According to the email I received from one of our ardent readers, the Swiss government issued a warning and a recall of ‘Zomi’ and ‘Polifuds’ brand palm oil from Ghana due to the presence of ‘Sudan IV [scarlet Red]’.

    According to reports, ‘Sudan IV’ is an artificial dye that is known to cause cancer. This is just one of the several recent warnings and recalls involving palm oil from Ghana.

    It is a known fact that majority of palm oil brands from Ghana are adulterated because when you cook with it, it hardly reddens food. Many business men and women export food products from Ghana to most European countries, United States and other parts of the world.

    In most African shops in Europe and U.S, what you will see is mostly palm oil of Ghana origin, ‘Puna’ yam from Ghana etcetera.

    In England, especially in places like Dalston market, in Hackney, London, Peckam etcetera, markets patronised by Africans, Zomi and Polifuds brand of oil is very common. It will be very rare to see palm oil that has not been adulterated with artificial colouring.

    Zomi, Polifuds, Nina and some other brands are well known amongst Africans abroad. Apart from being bottled in plastic bottles, the companies that manufacture these brands also have the thicker product made from palm nut fruit pulp and oil which is canned. It is used as the major ingredients in palm nut fruit soup which is locally called ‘Ofe Akwu’ and it is also used in making ‘Banga’ soup.

    These canned Zomi, Nina, palm fruit pulp apart from being sold abroad have flooded the Nigerian markets. They are common sight in Lagos markets and shops. Some consumers see it as a convenient alternative to fresh palm fruit juice which is the major ingredient for the soups mentioned above.

    However, though consumers patronised them a majority have always doubted its genuineness because of its unnatural thickness and redness.

    The adulteration of red oil, however, is not restricted to Ghananian traders as many Nigerian traders and farmers also engage in the dubious venture. The only thing is that European African market is not littered with palm oil of Nigerian origin.

    Within Nigerian markets, adulterated red palm oil is sold openly to unsuspecting consumers. Unfortunately, no company can be held responsible and red oil is not imported into the country. Traders bring their individual oil to the market to sell.

    The adulteration is done locally, sometimes from the source or by the middle men or the retailers. Why do they adulterate palm oil that is already red? you may wonder. Another question is, does this adulteration increase the volume of the oil?

    Kehinde Adedeji, who sells palm oil at Iddo market, Ebutte Metta, Lagos, confirmed that there are unscrupulous traders who add dye and various food colouring to make their oil to be more red in colour. “Customers are attracted to very red and watery oil. Nobody wants to buy sleepy oil and these customers unknowingly fell into the traps of these traders.”

    However, the oil seller stated that the traders only adulterate the oil for colour purposes and not to increase the volume. “We know retailers that add colouring to their palm oil but there is no way we can warn buyers but the sure thing is that if you buy the oil once, you will not come back again to buy it.”

    Mrs. Ngozi Okafor, who trades in the business at Oyinbo market, Yaba, admitted to adding rock salt to the oil she sells in order to maintain the natural taste of the palm oil. “I do not use dye or any other colouring. The only thing I add to my palm oil is rock salt and when you are buying oil that can stay with you for about six months I will advise you to add some salt so that the taste and flavour of the oil remains stable.

    “I am aware of traders who use dye in their oil but look at my oil and even taste it. If you buy my oil, you will come back for a repeat purchase,” she boasted.

    Mrs. Ogu Udechukwu, an established caterer, said she does not joke with whom she purchases red oil from as bad oil can easily ruin one’s cooking. “Even if my client provides all the ingredients, I insist on buying the red oil I will use in cooking. I have a source at Oyingbo market and she has never disappointed me.”

    As an experienced caterer, can you differentiate adulterated palm oil from non adulterated one by mere looking at them? the reporter asked her. “It is very difficult to detect adulterated red oil by merely looking at it. But when you cook with it, you will know because you will have to pour a lot of it before you can get your food red. But for good oil, you will only need to pour just a little of it and the food becomes red.”

    Speaking further, the caterer explained that one can detect good oil by taste, sight, and smell. “One can perceive the aroma of good fresh oil as you approach the seller, then by the time you taste it, you will just confirm it. I always taste the oil before I pay for it and I will advise consumers to taste before committing their money.

    “On many occasions I have bought adulterated palm oil unknowingly,” fumed Mrs. Fumi Akintulese. “It looks red in the bottle but you will almost finish a one-litre bottle before you can get your food red.”

    These nefarious traders are all over the country. Mrs. Obiamaka Obiakalusi said she travelled to Enugu briefly and when she was due to go back to her work station in Abuja, she decided to buy red oil believing she will get better oil and better deal from the Eastern part of the country where palm trees are more common.

    “I went to the Abakpa Nike Market which is closer to the Nike Lake Hotel where I stayed. As I was negotiating the price with one of the local traders, many of whom had buckets of palm oil vintagely displayed. A lady passing by cleverly beckoned on me.

    “Baffled, I left the trader and walked up to the passerby. She whispered to me that most of those women selling oil at that particular place were notorious for selling adulterated oil and directed me to another part of the market,” narrated Obiakalusi.

    “Thanking her profusely, I hurried to where she directed me and even as I approached the place, I perceived the smell of fresh oil. Though the price was higher by just N100.00 I was glad I bought the good oil.”

    Further investigations revealed that many colouring additives, amongst Solvent red 24,which is used in colouring plastics, is added to palm oil by the nefarious traders to improve its redness. Some use ‘Anatol’ dye to achieve this result while others use other forms of local dye which cost little or nothing.

  • Farmers, others kick over N116b palm oil import

    Stakeholders in the agricultural sector have kicked against palm oil   import , urging President Muhammadu Buhari and the Federal Executive Council (FEC) to halt the trend.

    Nigeria, according to a report, spent N116.3 billion on palm oil import last year.

    Speaking with The Nation, the farmers and members of the Plantation Owners Forum of Nigeria (POFN) said they were in support of the move by the Senate to ban palm oil import.

    The Senate urged the Federal Government to ban palm oil import to encourage local production and protect the farmers.

    The POFN said the adoption of a motion entitled: “Urgent need to halt the importation of palm oil and its allied products to protect palm oil Industry in Nigeria” by the Senate deserved commendation and support of all Nigerians.

    The group commended the sponsor of the motion, Senator Francis Alimikhena, for decrying the importation of palm oil.

    POFN’s Executive Secretary Mr Fatai Afolabi joined the Senate and Alimikhena in expressing concern that importation of palm kernel and allied palm products were threats to Federal Government’s campaign on diversification of the economy through increased agricultural production and exports.

    The group said it was unhappy that Nigeria imported about 450,000 tonnes of palm oil worth N116.3 billion last year, urging the Federal Government to stop it to boost local production.

  • ‘N116.3b palm oil imported in 2017’

    About 450,000 tonnes of palm oil, worth N116.3 billion were imported last year.

    Disturbed by this figure,  the Senate has urged the Federal Government to outrightly ban palm oil importation.

    The Upper Chamber’s decision followed a unanimous adoption of a motion titled: “Urgent Need to Halt the Importation of Palm Oil and its Allied Products to Protect Palm Oil Industry in Nigeria.’’

    The Senate, at its plenary, decried the importation of palm produce  and expressed concerns that palm kernel and allied palm products importation is a threat to government’s campaign for the diversification of the economy through increased agricultural production and exports.

    Nigeria was the world leading producer of palm oil at independence, but unfortunately, Indonesia and Malaysia have overtaken the country and it is now importing palm oil.

    The Senate argued that Malaysia, which is widely believed to have collected its first seedlings from Nigeria some decades ago, now exports palm oil products to Nigeria. They urged the government to reverse the trend through investments in the local palm industry and to protect local producers from unnecessary imports.

    Acknowledging that Nigeria is endowed with land and manpower to boost palm oil production, the Senate said focus should be directed at returning to pre-independence status in palm oil production.

    “We have no business importing palm kernel or any oil palm product from any country. At independence, agriculture was the mainstay of Nigeria’s economy. More than 70 per cent of the population was engaged in agriculture.

    “Apart from various food crops produced in the country, Nigeria was a major producer of palm oil/kernel, cocoa, groundnut and rubber.

    “But following the discovery of crude oil in commercial quantity in the 70s, agriculture was neglected,” the Senate regretted.

    Senator Theodore Orji  said there was need to establish a special fund to encourage local production of palm oil in the country.

    He expressed concern that many palm oil production plants in the country were moribund.

    According to him, palm oil used to be a major income earner for the country, but unfortunately many palm trees are dead.

  • Woman docked for stealing 11 kegs of Palm Oil

    Woman docked for stealing 11 kegs of Palm Oil

    An Ekiti based  woman, Dele Gbadura, on Thursday appeared before an Ado-Ekiti Magistrate’s Court for allegedly stealing of eleven kegs of palm oil.

    Police prosecutor, Sgt.Oriyomi Akinwale, told the court that the accused committed the offence on December 20, 2017 at Taye Fasuba Street, in Odo Ado Quarters, Ado-Ekiti.

    He alleged that the accused, on the said date, unlawfully stole the commodity valued at the rate of N110, 000, property of one Tairu Motunrayo.

    According to him, the offence contravened Section 390(9) of the Criminal Code, Cap C 16, Vol.1, Laws of Ekiti State 2012.

    The accused pleaded not guilty while her counsel, Mrs. Adunni Olanipekun prayed the court to grant bail to her client in liberal terms, promising that she would not jump bail.

    Magistrate, Mrs. Modupe Afeniforo consequently granted bail to the accused in the sum of  the N50,000 with two sureties in like sum.

    She adjourned the case to March 9 for further hearing.

  • NIFOR and failure of palm oil mandate

    Sir, The mandate of the Nigerian Institute for Oil Palm Research (NIFOR) is to conduct research into the production and products of oil palm and other palms of economic importance and transfer its research findings to farmers. Nigeria has imported palm oil worth over $3.2billion in the last 10 years. NIFOR is totally disconnected from potentially small-scale and out-grower smallholder farmers of palm oil plantation and failed in its mandate.

    Today, there is no policy statement on how Nigeria can return to its status as the largest producer of palm oil in the world and the institute is always waiting for its annual subvention from Abuja. It lacks innovation. There is need to review the operations of NIFOR and reposition it to deliver on its mandate. Today, the institute has no record on the number of private individuals and organizations that have established palm oil plantations in the last 20 years in Nigeria. NIFOR is located in Benin City and he does not even know the number of palm oil estates in Edo State. Rather there is always struggle for managerial positions in the institute. How can the institute deliver on its mandate when it has no records or database of palm oil estates in Nigeria? Federal Government should as a matter of urgency review the operations of NIFOR.

    Some newspapers reported that Nigeria imported 450,000 tons of crude palm oil valued at N116.3 billion ($323.1 million) in the first 10 months of this year. The amount imported increased by 12 percent from July because of rising demand, thus pushing up the price from $663 per metric tonnes in July to $718 per tonne as at November.

    Before NIFOR, palm oil was among the first commodities of international trade, after the slave trade, between Nigeria and Europe. The world trade in palm oil at the turn of the 20th century and up to the Second World War, was dominated by countries of British West Africa (largely Nigeria), the Belgian Congo (later Zaire and now the Democratic Republic of Congo), and the Far-East Asia notably the Netherlands East Indies, (Sumatra and Java) now Indonesia.

    Palm oil, hitherto one of the nation’s major foreign exchange earners in the early 1960s is massively imported into the country from Malaysia and Indonesia. Recall that Nigeria was the largest producer of palm oil in the world with a market share of 43 per cent in the 1960s. But currently, it has a world share of 2.9 per cent, with Indonesia leading by 33 million metric tonnes, Malaysia, 19.8 million metric tonnes; Thailand, two million; Colombia, 1.108 million metric tons and Nigeria, 970,000 metric tonnes.

    The institute failed because it is presently managing only two oil palm estates namely the Federal Oil Palm Estate Obotme (525ha) and the Federal Oil Palm Project, Erei (720ha) on behalf of the federal government while many other palm oil estates have been taken over by forest. The institute also runs advisory services relating to palms management, analytical services and quality assurance and diagnostic services to the palms industry in Nigeria. In this respect most of the fertilizer recommendations and policies of some major oil palm companies in Nigeria are based on the yearly routine soil and foliar analysis carried out for them by the institute’s consultancy service.

    That Nigeria, just this year alone, has imported 450,000 tons of palm oil to the tune of N116.3billion, is as grim a reality as it is worrisome and failure of NIFOR to deliver on its mandate. With an ever increasing population, a steady decline in palm oil production, and a proliferation of the uses of various products from palm oil, it is an economic fact that there is high demand for palm oil in Nigeria. Therefore, it is a tragedy that Africa’s greatest potential is spending so much money on the importation of what it can produce.

     

    • Inwalomhe Donald,

     Benin City.

  • Palm oil import causes concern

    group of concerned stakeholders in the oil palm industry has expressed fear over unmitigated importation and dumping of palm oil, saying such practice can kill the industry if not checkmated.

    At a briefing, organised by Plantation Owners Forum of Nigeria (POFON), National Palm Produce Association of Nigeria (NPPAN) and Oil Palm Growers Association of Nigeria (OPGAN), POFON Chairman, Mr. Emmanuel Ibru, who spoke on behalf of the three groups,  lamented that detractors in the oil palm industry were at work again to destabilise the enduring palm oil policy environment.

    He added that they may consequently upturn the gains that the local industry has recorded in the last five years to 10 years in the country.  He feared that, if the plot of palm oil speculators are not checkmated it may spell doom for the local industry.

    He said a company, whose identity he would not reveal, was trying to import crude palm oil and other palm oil related products to the country under the guise of ECOWAS Trade Liberalisation Scheme (ETLS).

    “We have received with shock the clamour by a company that has refused to invest in the Nigerian oil palm value chain to import 95,000 MT of crude palm oil, 50,000 MT of stearin in bulk, 60,000 MT of crude palm oil and 50,000 MT of palm fatty Acid distillates under the West African Trade Liberalisation scheme (ETLS).

    “This is not only absurd, it is as well ridiculous as all the palm oil producing countries in West Africa also import crude oil into their respective countries.  Importing palm oil from any West African country under the guise of ETLS is tantamount to economy sabotage while any attempt or plot to import refined products amounts to smuggling because refined vegetable oil products remain on the import prohibition list. It is on this light we see the ongoing plot by the company as an attempt to procure official stamp and commit economic crime against Nigeria,” he said.

  • Nigeria spends N116b on palm oil importation

    Despite the high exchange rate and its price, Nigeria has imported 450,000 tons of crude palm oil valued at N116.3billion ($323.1 million) since the beginning of the year, it was learnt at the weekend.

    The shipment was increased by 12 per cent as global price hit $718 per metric ton.

    The price of the commodity, which was $663 per metric ton in July, was increased to  $718  per ton this month (November) based on  high demand  by indigenous manufacturers.

    The country domestic production currently stands at 970,000 metric tons, while demand is 2.7million tons, leaving a deficit of 1.73million.

    Findings from the Nigerian Ports Authority (NPA) revealed that Apapa Bulk Terminal Limited (ABTL) at Lagos Port Complex took delivery of 4,000 tons from Lady Dahlia in the first week of this month, while Hamour Endurance  is still jostling for a berthing space to discharge about 5,000 tons  at JosepDam terminal, Tincan  Island Port, Lagos.

    In August this year, three vessels berthed at the Lagos Port Complex and Tincan with 32, 483 tons of the essential commodity.

    At ABTL were GSW Forward and Marios G ships, laden with 16,300 tons and  11,483 tons respectively. Another ship Theresa Success, investigation showed, has also offloaded 5, 000 tons of the product at JosepDam terminal in Lagos.

    Findings also revealed that between January and April this year, 50,010 tons of the commodity was shipped to the country.

    For instance, according to imvestigation at the Lagos Port, SeaPrice ship discharged 15,000 tons in January; Chemtrans Havel ship, 10,700 tons in February; Star Ploeg ship, 16,400 tons in  March and   Mid Nature ship, 8,000 tons in April this year.

    Following the surge and high demand for palm oil by Nigeria and Ghana this year, a shipping line, CMA CGM in August this year, imposed a new cargo protection service for shipments of the commodity into the country.

    The protection service attracted an automatic prepaid surcharge of $10 per container.

    It would be recalled that the shipping line noted that the surcharge was a new tailor-made cargo protection service for palm oil shipments exported from Indonesia and Malaysia.

    However, the company said all palm oil exporters would be compensated with up to $10,000 in the event of loss or damage of cargo during transportation.

    It added that export from Indonesia and Malaysia ports to other Africa countries would attract a prepaid surcharge of $10 per 20 feet container and $10 per 40 feet container.

    Nigeria was the largest producer of palm oil in the world with a market share of 43per cent in the 1960s. But currently, it has a world share of 2.9per cent, with Indonesia leading by 33million metric tonnes, Malaysia, 19.8million metric tonnes; Thailand, 2million; Colombia, 1.108million metric tons and Nigeria, 970,000 metric tonnes.

  • Stories around palm oil

    Stories around palm oil

    Please perish the thought dear reader, Hardball would not dare repeat here, that silly tale about Malaysia taking a few palm oil seedlings from Nigeria in the 60s, blah, blah, blah. Even Hardball would probably cry if he hears that story one more time.

    It is a sad tale about Nigeria’s failure; everyone knows it, everyone tells it to everyone who re-tells to everyone who re-tells, on and on, ad-nauseam. We have probably told it for all of three decades yes; 30 years in case you think that was a slip.

    Yes, one whole, long generation of Nigerians have regaled themselves with this woe tales, yet concrete actions were never taken to change the situation.

    Back then, Nigeria was among the top exporters of crude palm oil. But today, Malaysia is world leader in the commodity they say, but they don’t know that this is just a small bit of the huge oil palm story.

    They do not know that other Asian countries like Indonesia, Thailand and Burma now dominate this oil trade, which has a global value of about $50 billion. They do not know that palm oil, like crude oil, can be broken down into different variants and grades. It is no longer the good red oil we used to know.

    We are still fixated on the palm oil story of the 60s, but it’s a different story now for palm oil, which incidentally, makes up more than half of the oil and fats consumed in the world today.

    It is a big industry, big business for countries, who know how to do big things. For instance, the oil palm research institute set up by Malaysia in the 60s has grown into a major Agriculture University. But its counterpart in Nigeria has become a shadow of itself, perhaps half overgrown by weeds. But why is Hardball getting so oily-soily today? It is about a report that Nigeria recently imported about N12 billion worth of palm oil in October and November. And that indeed, Nigeria needs about 2.7 million metric tons of palm oil yearly, but can hardly produce 1 million tons. She has to import the bulk of the rest.

    How can this be happening when one state in the Southeast or Southsouth can produce Nigeria’s need? How can we now turn around to claim that some states are not viable or that they cannot afford to meet basic salary bills, yet they sit on a palm oil industry that yields more than all the money that accrues to them from federal allocation?

    While the price of the much more favoured crude oil has been dropping that of palm oil is rising in global markets. The prospects for this native commodity are actually bright, but only those who are working will reap them, not those telling and re-telling old oil stories.

    The only story left untold and which desperately needs to be told about the crop ancient to our land would be a come-back story. Let the world tell how Nigeria miraculously raised the dying palm oil industry back to number one in the world in a couple of years. That would be the story!

     

     

  • Malaysia 2018 palm oil output to rise by 2.5%

    Malaysia 2018 palm oil output to rise by 2.5%

    Palm oil production in Malaysia, the world’s second largest producer, is expected to increase by 15.5 per cent this year and will grow by 2.5 per cent in 2018, the government said on Friday.

    Malaysian output is forecast to rise to 20 million tonnes this year and to 20.5 million tonnes in 2018 due to better yields and expansion into matured areas, according to forecasts given in the government’s annual economic report released ahead of Prime Minister Najib Razak’s announcement of the 2018 budget.

    In 2016, production was 17.3 million tonnes, the report said.

    Average prices for palm oil are also projected to rise because of higher demand.

    “Palm oil price (in 2018) is expected to increase to an average of 2,750 ringgit per tonne bolstered by higher demand, particularly from China, the (European Union) and India.”

    The government expects an average palm oil price of 2,700 ringgit ($638) per tonne this year.

    NAN

  • Paediatrician cautions against using palm oil as poison antidote

    Dr Gbemisola Boyede, a consultant paediatrician at the Lagos University Teaching Hospital (LUTH), has cautioned against the practice of using palm oil as an antidote for poison.

    Boyede told the News Agency of Nigeria (NAN) on Wednesday in Ilorin that the use of palm oil as antidote against poisoning could be a dangerous practice in some instances.

    According to her, contrary to the popular belief, palm oil is not an agent to induce vomiting.

    ”Most people believe that once someone ingest poison, the best thing to do is to induce vomiting to get the poison out of the system or give an antidote that can neutralise the effects of the poison.

    ”In Nigeria, the most commonly used agents, either to initiate vomiting or neutralise the effects of poison, is the red palm oil.

    ”This is, however, dangerous for two reasons; inducing vomiting only works if the poisoning has occurred less than one hour before.

    ”Secondly, there are certain poisons whose effects actually become worse by inducing vomiting, so vomiting  should never be induced in such instances.

    ”Using palm oil to induce vomiting has its own health risk, as its inhalation into the lungs can lead to a complication of pneumonia, where the child actually develops breathing problems.

    “This is due to the inhalation of the oil fumes into the lungs,” Boyede said.

    She added that inducing vomiting should not be done in cases of swallowing hydrocarbons such as kerosene, petrol etc.

    ”This will cause serious breathing problems. So in all cases of poisoning, get the bottle of the poison, if you can, and go to the hospital immediately,” she added.

    The pediatrician explained that the best thing to do is to go to any hospital’s children’s emergency room immediately for evaluation by the doctors.

    Inducing vomiting, according to her, means giving something or doing anything to make the person, who has just ingested a poisonous substance to vomit, so that the person will vomit the poison before it is absorbed into the system.

    She said that this could, however, only be done for certain types of poisons “and only if the poisoning has not been ingested for more than one hour.

    “For example, a child, who has swallowed some iron tablets (blood tonic tablets), if seen before one hour, can be induced to vomit out the tablets,” Boyede said.

    Boyode, who described the use of palm oil for inducing vomiting as a myth, however, noted that not all myths have health implications, “but the dangerous ones should be avoided”.