Insecurity and incessant attacks on company facilities were a major clog in the progress wheel in rubber plantation farming in 2023. This is according to Graham Hefer, the Managing Director of Okomu Oil Palm Plc, who made this disclosure in an interview.
He called on the Federal Government and Edo State Government to help the company combat bandits whose activities are disrupting its operations.
Hefer stated that rubber production is strategic to the firm’s operations, as it serves as one of its major sources of foreign exchange earnings. He, however, lamented the losses incurred in production, attributing them to insecurity.
He lamented, “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.
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.”
Recall that there have been multiple attacks on Okomu Oil Palm’s facility, resulting in the death of about three staff of the company. A militant group claiming responsibility for the attacks demanded about a 25% stake in the company and a directorship position on its board.
