Insecurity In Nigeria Stopped Rubber Production Last Year – MD, Okomu Oil Palm

Graham Hefer, Managing Director of Okomu Oil Palm Plc, has said that assaults on the company’s infrastructure and instability caused the rubber plantation to be shut down as of 2023.

In an interview with the News Agency of Nigeria (NAN) on Saturday, he and other members of the company’s top management made these statements.

He urged the federal government and the state of Edo to support the business in battling bandits whose actions are interfering with its operations.

Hefer said that since rubber manufacturing is one of the company’s main sources of foreign exchange revenues, it is strategically important to its operations. Still, he bemoaned the output losses and blamed insecurity for them.

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He said, “Last year, we also had attacks. The same people were attacking us last year, so we had to stop our rubber farming.

“So, we did not fulfil our obligations in terms of our commitment because we could not tap at that stage,”

The managing director stated that, in addition to insecurity, the devaluation of the naira, lack of foreign exchange and inadequate infrastructure have negatively impacted the company.

Hefer also highlighted that certain government policies and regulations, particularly multiple taxation, pose significant challenges for the firm.

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He expressed hope that the government would address these issues to facilitate better business performance and attract more foreign investors.

Furthermore, the managing director indicated that there are no immediate plans for the company’s expansion unless decided otherwise by the board.

He stated, “At the moment, we have a good market for what we are producing, and we are happy within that market. We feel we are comfortable with that.

“But if later on, my board decides to look into different things, we may, but right now, we are happy with where we are.”