Enugu palm products firm boosted with N100bn investment

 

Joseph Irikefe

 

Governor of Enugu State, Dr. Peter Mbah, Thursday, performed the formal flag-off of the revitalisation of the Enugu United Palm Products Limited (EUPPL).

The flag-off, which took place at Ibite-Olo, Ezeagu LGA of the state, was sequel to a N100 billion deal between the Enugu State Government and Pragmatic Palms Limited (PPL), in May this year.

At the event during which he equally performed the groundbreaking for the staff quarters at the plantation, Mbah thanked the people of the state for believing in his vision and determination to revive and convert the state’s moribund assets to productive assets.

“For me, this flag-off is a triumph of vision over cynicism. Recall that a few months ago, when we announced an investment of N100 billion in partnership with Pragmatic Palms Limited, the news was greeted with a lot of cynicism and doubt. We had a lot of naysayers and critics, who ascribed all sorts of things to this humongous investment. But as you have seen, we were absolutely clear as to what we wanted to achieve and accomplish for our people in Enugu State.

“So, what this groundbreaking ceremony represents for us is a new lease of life for Pragmatic Palm Product Limited. It also shows that we are getting closer to our dream to transform Enugu State as a premier destination for investment, industry, tourism, business and living.

“Therefore, I want to use this opportunity to reassure the management and executive of PPL of our commitment to supporting every step of this investment,” he said.

Speaking, the Managing Director/CEO of Pragmatic Palms Limited (PPL), Prof. George Nwangwu, rolled out a five-year aggressive plan to reposition EUPPL as one of the leading integrated oil palm establishments in Nigeria, playing in the upstream, midstream, and downstream sectors.

He added that the firm would create 3,500 direct and indirect jobs.

In the upstream, he said that with only 40 per cent of the 6,700 hectres of land planted so far, EUPPL would embark on aggressive planting of the unplanted lands, increasing the planted area to at least 20,000 hectres in five years.

In the midstream, Prof. Nwangwu said, “We will set up world-class oil mills across the three locations as well as increasing the oil production capacity over time.

“We will also set up and improve our refining capacity to produce crude palm oil, palm kernel oil, olein, stearin, biodiesel, as well as refined, bleached, and deodorised oil.

“In the downstream, we plan to have a share of the retail market by setting up the largest network of agents to aggregate fresh fruit bunches from around our catchment area.”

In her remarks, the Commissioner for Trade, Investment and Industry, Adaora Chukwu, recalled that EUPPL, originally established by the government of the defunct East Central State in 1970 on 6,700 hectares traversing Ibite-Olo in Ezeagu LGA, Ugwuoba in Oji River LGA, and Umulokpa in Uzo-Uwani LGA, though initially viable, was crippled by mismanagement, obsolete equipment, and limited market access.

She, however, said that the N100 billion joint venture sealed between the state government and Pragmatic Palm Limited in which the state provides the land/plantations, while PPL provides finance for 60 per cent of the transaction, would see to the turnaround of the company to the immense benefit of the state through job creation, economic diversification, infrastructural development, revenue generation, technology development, innovation, among others.

The Commissioner for Agriculture and Agro-Industrialisation, Patrick Ubru, said the partnership between the Enugu State Government and PPL towards the revitalisation of EUPPL was very strategic to the overall vision of the Mbah administration for the agriculture sector.

Meanwhile, the host communities lauded Governor Mbah for reviving the EUPPL after over 40 years of dormancy and ruin, with a businessman and community leader from Olo, Johnmary Anagolu, pledging a donation of N50 million to support the administration’s infrastructural development in the area.