Prime Minister James Marape emphasized the significant potential for growth in Papua New Guinea’s oil palm industry during a meeting with Oil Palm Minister Francis Maneke and Oil Palm Industry Corporation (OPIC) General Secretary Kepson Pupita.
The industry contributed K2.8 billion in export revenue in 2022, is seen as having the capacity to become influential as the mining and oil and gas sectors in the nation’s economy.
Prime Minister Marape commended the efforts of Minister Maneke and Secretary Pupita, particularly highlighting the impact of the National Oil Palm Intervention Programme (NOPIP). This programme marks the first instance of the Marape Government directly funding the supply of seedlings to smallholder growers in the oil palm provinces, aiming to enhance the industry’s sustainability and growth.
The Prime Minister issued directives to ensure the continuous support of smallholder growers, including the ongoing supply of seedlings through nurseries, the establishment of a mill dedicated to smallholder growers, and the acquisition of more land for oil palm cultivation to bolster the economy.
“I set up the Oil Palm Ministry to grow the industry and not to maintain the status quo, where the industry continues to be dominated by private companies,” Prime Minister Marape stated.
He further projected that expanding the current smallholder cultivation area could substantially increase the sector’s revenue.
“If the current smallholder crop of 15,000 hectares brings in K300 million annually, we can make so much money if we increase the land.”
Prime Minister’s vision includes forging partnerships with provincial governments for land provision and ensuring the availability of seedlings, with the ambitious goal of establishing mills to further support the industry’s growth. He expressed a particular interest in utilising the grasslands of the Markham and Ramu valleys, as well as the Sepik Plains, for oil palm cultivation, citing the crop’s superior investment return.
Furthermore, the Prime Minister directed all entities with land allocated under the Special Agricultural Business Lease (SABL) that remains unused to collaborate with OPIC in developing these areas for oil palm production. This initiative is part of a broader strategy to optimize land use and increase the industry’s contribution to the national economy.
