Gov’t proposes Oil Palm Development Agency

Government has proposed setting-up an Oil Palm Development Agency to enable the country realise the needed investment and grow the oil palm sector.

Dr. Ahmed Yakubu Alhassan, Deputy Minister of Food and Agriculture speaking at the Tropical Forest Alliance 2020 (TFA 2020) Action Plan on Oil Palm Development in Africa Initiative Regional Workshop organised by Proforest and in collaboration with the Ministry of Food and Agriculture said: “Oil palm development is about our people, our livelihood, heritage, our economy and ultimately our legacy.

“We don’t owe its sustainable growth only to the over-6 million people whose livelihood depends on it, or the consumers all over the world whose lives are better because of the oil palm, but to posterity.”

He explained that development of the sub-sector has slowed down over the years; research shows that Africa presents a new opportunity for large-scale palm oil production and that a number of companies have established plantations; new investors are looking for the opportunity to expand their operations into this region to meet growing demand for the commodity.

Dr. Alhassan said the production of oil palm the world over is facing challenges – environmentally, socio-culturally and economically. These challenges include forest conversion, loss of critical habitat for endangered species or places of high conservation value, and concerns that large-scale forest clearings may contribute to climate change. In some instances, oil palm production has resulted in conflicts between communities and plantations.

“Government believes that the development of oil palm can be done in a more sustainable manner and with drastically reduced negative impacts.

“Considering the great potential Ghana has to contribute in meeting the demand of Crude Palm Oil and Crude Palm Kernel Oil in Africa and the world, it is important that palm oil refiners, manufacturers and other actors who influence the sector directly and indirectly come together to find ways of reducing the likely negative impacts and increase its benefits.

“We believe this can be done by joining forces with allies who share the same vision and who are ready to forge strategic, mutually beneficial partnerships to work toward set goals.

“As we made clear during the Ghana workshop and throughout this process, we share in the vision of the TFA2020 Palm Oil Initiative whose aim is to achieve a prosperous palm oil industry that provides jobs and wealth to local communities -- in a way that is environmentally and socially sustainable and protects the rich tropical forests of the region.

“Closing the gaps in this sector and producing oil palm sustainably will require concerted efforts from governments, regional bodies, research institutions, private financiers, investors, technocrats, you and I, to insure the proper understanding and utilisation of oil palm.”

Mr. Abraham Baffoe, Africa Regional Director Proforest, said the workshop was aimed at building a shared understanding of TFA 2020 and the Africa Palm Oil Initiative and share ideas and experiences on promoting deforestation-free supply chains as a vital element of better economic growth and making progress toward the global goals.

It targetted updating stakeholders on progress made in the initial focal countries and developing a framework for a set of regional principles for sustainable palm oil in Africa, including a timeline to reach a regional agreement.

Six leading palm oil producing countries in Africa -- Cameroon, Cote D’Ivoire, Gabon, Liberia, Nigeria and Ghana -- are engaged in the Initiative.