Efficiency of oil palm production in Nigeria: A review-pathway

Abstract

The study reviewed the efficiency of oil palm production in Nigeria. Efficiency plays a major role in productivity in developing economies like Nigeria, where resources are limited and new technology must be adopted quickly to boost output. The research gaps addressed were: provision of reasonable data backing the efficiency of oil palm production, inquiry into the technical efficiency dynamics of the oil palm making, appraising the dynamics disturbing the oil palm making, addressing the sustainability of oil palm making, reviewing the problems and prospects connected with the oil palm commerce. The factors affecting the technical efficiency of oil palm fruit processing which includes a decline in production and yields, limited availability of specific fertilizers, scarcity of quality palm seedlings, aging palm plantations, limited access to suitable credit options, marketing challenges, including stiff competition from imported oils, inefficient palm oil extraction using traditional methods due to the prevalence of a poorly mechanized artisanal sector and limited access to credit tailored for palm nut processing. It was discovered that Oil palm making has a significant impact on employment in Nigeria. The problems associated with the efficiency of oil palm production include deforestation and habitat loss, environmental impact, social and labour issues, land tenure and conflict. Among the prospects of oil palm efficiency, alternative oil sources, technology and yield improvement, restoration and reforestation, consumer awareness and demand for sustainable products were optimal. It was concluded that the pathway of oil palm-making efficiency in Nigeria from 1980 to 2023 reflects a dynamic industry resulting by economic growth, environmental stability, technological and social compatibility. It is recommended that to enhance efficiency in oil palm, farmers ought to allocate greater resources to their production endeavours to align with the rising market demand and to enhance their profit margins.