Non-oil Exports: Firm Signs MoU on $100m Essential Oil Offtake

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

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

Speaking to the press after the inspection of existing facilities in selected locations, Mr. Pavan Kumar expressed optimism on 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.

Chief Executive Officer for Food Industrial Park Limited, Michael Anibi, said that 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.