Firms Sign MoU On $100m Oil Offtake

A firm, Food Industrial Park Limited has signed a memorandum of understanding (MoU) with Best Engineering Technologies based in Hyderabad, India, to offtake essential oils produced by the park.

The agreement covers over 500 tonnes of essential oils from various plants and spices yearly.

Speaking to the press after the inspection of the facilities in selected locations, Mr. Pavan Kumar, expressed optimism about the high level of potential and opportunities he had seen.

“We have visited Abeokuta, Tede, Ofodo and Lokoja. I am really impressed by the readiness of our partners here in Nigeria, and I believe the results will be great,” Kumar said.

He added that his company would not only offtake the oils but would support with both technical expertise and training.

Chief executive officer of Food Industrial Park Limited, Michael Anibi, said the partnership became possible because of collaborations and strategic alliances among several indigenous companies. The stakeholders involved in Nigeria include farmers, processors and technical professionals.

“3,000 hectares of aromatic plants and crops will be cultivated across three states of Ogun, Oyo, and Kogi. Also, 1,250 youths and women will be engaged across the value chain with each earning over 1 million Naira yearly,” he explained.

The main crops and plants include lemongrass, basil, thyme, ginger and turmeric.

Preliminary work has commenced at the locations involving Food Industrial Park Abeokuta (FIPA), Tede Agri Industrial Cluster (TAIC), and Food Industrial Park Lokoja (FIPAL).

Director of Business Analysis for Nardus Limited, Abisola Keke, expressed confidence that the alliance would achieve the set goals of returns on investments, employment generation, and more prosperous value chain players.

“We have successfully processed lemongrass, basil, bamboo leaves, and water hyacinth in the past. And we are scaling up as the distillation equipment is expected by mid-year,” she said.

Abisola also said Nardus Limited already had over six natural products, including fragrance, soap, body powder, haircare oil, shampoo and body cream from essential oil.