On Friday, the government of Enugu State inked a deal worth N100bn with Pragmatic Palms Limited, a branch of Diamond Stripes Limited.
The agreement aims to breathe new life into the state’s dormant United Palm Products Limited.
United Palm Products Ltd, a legacy of Nigeria’s first President, Dr Nnamdi Azikiwe, and implemented by the former Premier of the Eastern Region, Dr Michael Ọkpara, has been inactive for over thirty years.
During the contract signing at the Government House in Enugu, Governor Peter Mbah expressed that this initiative aligns with his administration’s goal to boost the state’s economy from $4.4bn to $30bn.
He stated, “This pact signifies a significant stride in our journey to reactivate our idle assets in accordance with our vision. The investment of over N100bn is substantial as we perceive agriculture not just as a means of food security but as a business.”
The Governor assured the partners of the state’s commitment to fulfilling its part of the agreement and promoting a conducive business environment.
He added, “We are committed to ensuring that this collaboration benefits both the company and Enugu State. Today’s event marks the commencement of a promising future.”
The state’s Commissioner for Trade, Investment and Industry, Adaora Chukwu, hailed the deal as a landmark achievement.
She explained, “One of the initial pledges His Excellency made to the people of Enugu State was to rejuvenate our non-functional assets. United Palm Products Ltd, which has been inactive for years, is one such significant asset. Today, we partially handed over and signed a contract for UPPL with Pragmatic Palm Ltd, a subsidiary of Diamond Stripes Ltd.”
She highlighted that the deal would generate numerous jobs and have a positive ripple effect on the oil palm industry’s production.
In her words, “Oil palm is an export product. We are considering the foreign exchange earnings for the state and the capacity building in-house, technology transfer, and skills and knowledge transfer to the people of Enugu State.”
George Nwangwu, the Managing Director of Pragmatic Palms, noted the high demand for palm products and the potential of United Palm Products Limited to jumpstart Enugu State’s economic transformation.
He said, “Agriculture is a business. We plan to bring in a lot of equipment and process the palm. The palm kernel is also an export commodity. Palm ranks fifth on the list of the biggest imports over the years. It’s a significant product, and we aim to maximise its potential here.”
He added, “The goal is to initiate the state’s economic transformation. If we produce enough, it will attract people to establish their soap factories here, thereby creating more jobs. It has a domino effect.”
