Dufil Prima Foods Plc, makers of Indomie Noodles, has begun compensating farmers whose lands are part of the hectares acquired by the food company from the Edo State Government.
Dufil Prima Foods had acquired 17,954 hectares of land from the Edo State government for palm oil cultivation. This contributes to the backward integration of the company and is in line with the Federal Government’s drive to ensure increased activities and revenue from agriculture.
The oil palm plantation project will feature the installation of an integrated palm oil mill.
The number of farmers to be compensated: Dufil Prima Foods have begun the process of crop compensation payment for 1,628 farmers across 14 communities in Ovia North East Local Government Area of Edo state.
The Ministry of Agriculture in the state will oversee the payment exercise, which commences on Monday, April 8 and is expected to continue for another three weeks.
Why this matters: The land acquisition marks the beginning of an important project by the company. It is expected to attract investment into the host communities, as well as create jobs for the residents of the region.
According to the Chief Operating Officer, Dufil Prima Foods Plc, Madhukar Khetan, the project marks a significant milestone in the history of the company and further shows the Dufil‘s commitment in the development of the Agricultural sector.
He said the backward integration and self-sustaining system of the company will positively impact Nigeria’s economy and reduce the country’s dependency on importation.
“IN ADDITION TO THE CROP COMPENSATION TO FARMERS, DUFIL’S COMMITMENT TO THE PROJECT IS WORTH BILLIONS OF NAIRA.”
Dufil Prima Foods to source raw material in Edo State
In January 2019, Nairametrics reported that Dufil Prima Foods plans to source for raw material within Edo State. It was disclosed that the plantation will serve as a source of raw materials for Indomie Instant Noodles, Power Oil, among others, which are all products manufactured by Dufil Prima Foods.
The Chairman of Dufil Prima Foods, Haresh Aswani also stated during a meeting with the state governor, Godwin Obaseki, that the company is fulfilling the raw material required for the company’s backward integration programme.