Governor Alex Otti on Friday said his administration is determined to restore Abia State to the golden era of the late Michael Okpara, when oil palm production was the economic backbone of the defunct Eastern Region.
Governor Otti stated this in his Office at Nvosi Isialangwa South LGA when he received a delegation from Presco Plc led by its Chairman, Olakunmi Sarumi.
The delegation presented a $200 million investment proposal in oil palm plantation and agro-processing with the proposed plantations expected to cover about 14,086 hectares from a 20,000-hectare concession across Ozuitem, Abam in Arochukwu and Ulonna farm settlements in Abia North & Central Senatorial zones.
The Governor commended the company for carrying out extensive due diligence before presenting its proposal, noting that it resonated with the historic agricultural vision of the late Dr Micheal Okpara whose farm settlement schemes once made the old Eastern region a powerhouse in palm oil production.
He recalled that the old Eastern region during the era of Dr Okpara emerged as a national leader in oil palm production through well-structured farm settlements and pledged to restore Abia’s lost glory in the sector.
Governor Otti noted that the State possesses favourable topography and fertile land capable of supporting large-scale oil palm plantations, stressing that these advantages position the State as a major driver of agricultural growth, employment generation and economic prosperity.
“I’m happy that you went back to history, to the days of Dr Michael Okpara, who actually set up these farm settlements, including the Ulonna farm settlements.
“I think it’s a good way to start. I believe that 14,000 hectares may just be for starters, because like you rightly observed, we have the topography and we are blessed with the quality of land that would give you one of the highest yields”, the Governor said.
Governor Otti who confirmed that the State Government is in principle, supportive of the investment, expressed particular interest in the job creation potential of the project.
According to him, the prospect of creating jobs for the people, contributing to the Gross Domestic Product (GDP) and positively impacting the economy makes the investment a welcome development for the State.
“So, for us, if you are employing over 20,000 people, and I’m sure with the 14,000 hectares, you probably generate a whole lot more jobs directly and indirectly.
“That’s actually the area that interests me; creating jobs for my people, contributing to the GDP, and generally affecting the economy in a positive light. So, I would say that this is okay”, the Governor said.
Governor Otti disabled disclosed that the next step would be to draft and sign a Memorandum of Understanding to enable both parties move towards implementation.
He added that the State Government would support the project by facilitating land acquisition and ensure fair compensation to host communities.
“We have a history of paying adequate compensation, and that’s why you don’t hear any noise. Anywhere we go, we pay first, including roads that we are expanding”, the Governor stated.
In his presentation, the Chairman, Presco Plc , Mr Olakanmi Sarumi disclosed that the company which is one of the leading agro-industrial oil palm companies in West Africa, plans to invest up to $200 million in Abia State as part of its expansion strategy.
He explained that the proposed investment would involve the development of oil palm plantations covering about 14,086 hectares from a 20,000-hectare concession located in Ozuitem, Abam and Ulonna.
“Our task from His Excellency and the State is to have this mutually beneficial relationship and facilitate the land acquisition for Presco Plc as well as security support to realise this development”, Mr. Sarumi said.
He noted that the project would generate over 5,000 jobs directly and indirectly across plantation operations, milling, logistics and other support services adding that it would reduce rural migration and stimulate community development.
Sarumi further explained that the investment would boost agricultural output, support small and medium enterprises and attract downstream industries that rely on palm oil derivatives.
“Our investment here will add multi-billion naira annually to Abia State’s GDP through agricultural output, tax revenues and multiplier effects across SMEs and local value chains”, he stated.
Mr Sakunmi added that the initiative represents a continuation of the agricultural revolution initiated by the late Dr Micheal Okpara, whose administration made the former Eastern Region a leading oil palm producer.
In his opening remarks earlier, the Group Managing Director, Afrinvest, Dr Ike Chioke
disclosed that the delegation’s visit followed discussions between the Abia State Government and Presco Plc in the first quarter of 2025 through the State’s Public-Private Partnership framework.
Mr Chioke commended the Governor for insisting on a thorough evaluation process before any partnership is finalised.
“Our visit today is a combination of that engagement, and I want to appreciate Your Excellency for the approach you’ve taken; not to rush anything, but to insist that we do our due diligence first”, he added.
