Information for Investors

Palm Oil Production

Palm Oil Production

It is known that oil palm has an ancient root. Palm oil grows wild in West Africa and Equatorial Africa. It has been used as a food and energy source for millennia. Actually, palm oil, well-balanced healthy edible oil is now an important energy source for mankind. Moreover, today it is widely acknowledged as a versatile and nutritious vegetable oil, trans-fat free with a rich content of vitamins and antioxidants. It is commercially grown in large plantations in Malaysia, Indonesia and other tropical countries. The product is used to make specifically fats for various food products, also it is an important raw material for the oleo chemical industry.

Oil Crop and Production

Oil Crop

Production (millions)

Total Area

Soya bean

 

Sun Flower

 

Rape Seed

 

Oil Palm

 

35.19

 

11.09

 

18.34

 

36.90

92.63

 

22.95

 

27.29

 

9.86

Total

102.78

 

 

In Ethiopia, the oil palm investment would be carried out in the Gambella Regional State on 58,000 hectare of land and the region is ready to grant the plot for the project.

Potential Areas

It is understood that palm oil production is at the front stage in the country (Ethiopia). Palm oil grows at the altitude below 500 meters. The climate condition is mostly between 24 degrees Celsius and 28 degree Celsius.

Market

It is widely known that Ethiopia has a large population and is potentially one of the larges domestic markets in Africa. Customs duty exemption is 100 percent free from the payment of import customs duty and other taxes levied on imports. There is also Investment Guarantee and Protection (MIGA*) for investors. Utilities, such as electricity, telephone, water are available. Potential investors are cordially invited to come to Ethiopia and invest their money and new technology in the lucrative palm oil production project.

*MIGA: Multilateral Investment Guarantee Agency