Palm oil is native to West Africa. Nigeria was previously the world’s largest producer of oil palm before the oil boom era, but Malaysia has now taken the leading position. Oil palm plantation and allied industries has become the key stay of the Malaysian economy. The palm tree can be utilized in various ways: the leaves are used in making brooms and for roofing materials (in the rural areas). The bark of the fond may be peeled and woven into baskets, the key trunk may be split like sawn timbers and used as part of building materials, while palm wine may also be obtained from the palm tree, as well as red palm oil, which is readily obtainable from the fruit bunches. Klasifikasi Tanaman
Once the fruit is processed, however, the residue obtained can be utilized as fuel (for cooking and fertilizer to improve soil nutrient).
Red palm oil is used in cooking, making soap, candle and margarine. Palm kernel oil may be extracted from the nut, as the residue obtainable in the process of palm kernel oil extraction, otherwise called palm kernel cake, is used as livestock feed.
Palm kernel oil is used in vegetable oil and soap making, and the shells are useful as energy source. The uses to which oil palm may be made seem non-exhaustive. This clearly suggests that investment produced in the establishment of oil palm plantation is nothing but a sensible one.
The marketplace is guaranteed for the products of oil palm plantation in this era of global food crisis.
To determine palm oil plantation, involves obtaining a good site where rich, well-drained acidic soils are abundant. The soil needs to have adequate quantities of potassium, magnesium and nitrogen. Soil tests should therefore be carried out to determine the nutrient status of the land. It is usually more straightforward to use the early maturing variety called’tenera,’ which bears fruits as from the fourth year.
Other requirements include seedlings procurement, which may be obtained from reputable nurseries. Prospective investors must engage the services of agricultural experts in the course of establishing this project.
Other cultural practices are planting, regular weeding, pruning and fertilizer application.
We are recommending 50 hectares for a start. 20 hectares oil palm plantation can conveniently service a palm oil mill which will be established by the dog owner once the plantation starts to create fruit. To determine 50 hectares of plantation, the sum of N10, 500,000 will soon be required and this really is broken down the following:
A mature plantation will begin to give an investor five tons of red palm oil annually from the fourth year per hectare. 100 metric tons of oil may be obtained annually from 20 hectares of plantation.
A lot of red palm oil is a minimum of N150, 000, while gross revenue of N15 million is obtained from red palm oil.
We are able to also get three metric tons of palm kernels per hectare, which provides us 60 tons from 20 hectares. This translates to annual income of N4.2 million. Total income realisable is all about N19.2 million, as the annual operating expense is put at N5.8 million.
This leaves us with net income of N13.4 million annually for the investor for the others of his/her life. Serious-minded investors may be assisted in realising this worthwhile investment.