It’s not a piece of news that Nigeria is a good country to start a successful and profitable palm tree plantation. Thus, you should feel at ease when you plan on starting this plantation in Nigeria. In this post, we’ll be guiding you on the best and cheapest places to start a successful palm tree plantation in Nigeria.
These places to be listed in this article are considered because of how affordable they are, the availability of large expanse of land, the good performance of palm trees there, and the easy nature you can evacuate the palm oil for sale. Establishing your palm plantation in these areas and locations would turn out for you.
You should also know that palm tree plantation is very profitable if it is well-managed. It is a farming business which would give you good amount of time for a long time. Once you plant agric and hybrid palm trees, you can start earning from the fourth year and very well as well. From the fourth year to about 35 years or more than, you earn steady from this plantation.
We aren’t going into details about the profitability of palm tree plantation. However, we are going to give a few instances. To make good money from this plantation, you should do a fairly large size of land to a very big sized land like from 10 hectares upwards.
Now, let’s look at instances of the profitability.
How Profitable is Palm Tree Plantation? Instances of the Profitability of Palm Tree Plantations
1. In 10 hectares of land, you can plant about 1500 palm trees. That’s 10 palm trees per plot of 60 by 100. Each palm tree can produce 12 – 20 liters of palm oil annually, and above, depending on a lot of factors.
Let’s say we have an average of 15 liters per tree. That’s 15 x 1500, and that’s about 22,500 liters from your farm annually. This 22,500 will amount to above 20 million naira in sales. However, to get this amount, you need good agricultural practice, fertilizer, and many other addings.
In the international market that’s about $90,000.
2. The second instance is let’s say you have 100 hectares of land of about 15,000 palm trees. 15,000 trees x 15 liters annually would lead to 225,000 liters. You would make about 220 million naira annually from this farm, or higher.
The 225,000 liters producing capacity of this farm is about $900,000 in the international market.
3. Now, let’s go a notch higher. Assuming you have 1000 hectares of palm trees belonging to you. That’s about 150,000 trees. These trees would produce over 2.2 million liters of palm oil annually.
With this, you are sure of making over 2 billion naira in sales. In the international market that’s about $9 million annually.
This business is one of the most profitable business you can think about. If you can find a direct link to be exporting it, it’s more profitable that way.
Best and Cheapest Places to Start a Successful Palm Tree Plantation in Nigeria
1. Edo
This state is number one state to get cheap and fertile large expanse of land for this plantation. There is surplus of land, and palm oil does well here. We can’t categorically state the amount but in the deep forest or interior areas, you’ll get a hectare of land for around 2 million naira or more.
Edo State is in the south south region of Nigeria.
2. Ondo
This state is in the southwest but palm trees does well here. They have large expanse of unused lands. You can get more than 1000 hectares if you need it and make the right enquiries. Ondo is also in a good location that you can easily evacuate your produce after harvest.
The amount of a hectare of land here should be around 2 million naira or more.
3. Akwa Ibom
Akwa Ibom is also in the south south region. The palm tree plant does well here as well. Even though it’s an oil rich state, you can get land in a large space, and affordable as well.
For Akwa Ibom, it’s slightly more expensive than other states mentioned, but you get for good price. You can get a hectare here for 2.5 million, 3 million, and above.
In addition, this state would soon have a functional seaport soon.
4. Cross River
Cross River has fertile land, and the land is very good for palm trees. You can trust the land to deliver good results for you. For doing this plantation, you go to the interior areas. You can get a hectare for around 3 million naira and above.
5. Imo
This land of Imo is very productive when it comes to palm oil, and the palm oil of the area is a really good and edible one. The shortcoming, though, is that there is limited land in the area and state. Nonetheless, you can see about 10 to 100 hectares to buy to start up something.
This state was included because of how fertile the land is for palm oil production. You can get a hectare of land here for around 4 million naira or more in the most remote areas.
Conclusion
This post has treated well the topic of the best and cheapest places to start a successful palm tree plantation in Nigeria. This business is very profitable, and it’s a long term business. You should do it with care and dedication and you are good to go.