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Nimba prepares for its first vegetable oil factory

The facility aims to transform locally produced red palm oil into refined vegetable oil.

Kpalema Inc., a growing agribusiness specialising in palm oil production, has commenced the construction of a modern vegetable oil factory in Nimba County

The facility aims to transform locally produced red palm oil into refined vegetable oil, commonly referred to as “argo oil,” marking a significant step forward for Liberia’s agricultural sector.

According to Newton Guanue, Administrator,the Kpalema Agrobusiness Enterprise currently manages over 300 acres of oil palm farmland and collaborates with more than 280 smallholder farmers across Nimba and Bong counties. “We have the capacity to produce more palm oil around the clock. The farms are there, and we are open to doing business with other palm oil farmers,” said Guanue.

During peak harvest seasons, Kpalema can process approximately two tons of palm oil per hour, equivalent to about 48 tins of red oil. Most of this oil is sold locally, while a portion is exported to regional markets. The enterprise operates a distilling plant and weighing bridge, ensuring farmers are fairly compensated based on the weight of their palm fruit before offloading.

Guanue added, “We are constructing a plan to transform the red palm oil to vegetable oil, and, by May 2026, the first sample of our production will be out. We are adding value as well as branding it.”

During a visit to the project site, situated about 10 kilometres from Ganta, construction was well underway, with stainless-steel storage tanks already being installed. Guanue noted that additional materials are expected soon, with production scheduled to begin early next year.

Kpalema Agrobusiness, led by Sylvester Kpai, also the CEO of Agriculture and You, currently employs over 75 workers. “Upon the opening of the factory, the employment number will increase at least by 50% because we will be working 24hrs daily,”  said Kpai.

As vegetable oil remains a staple in Liberian households, Kpalema’s initiative aims to reduce dependence on imports and stabilise local prices. The management has appealed to the Ministry of Agriculture for financial and logistical support, particularly for branding materials and transport vehicles.

“We also need more logistical assistance from the government. We need trucks for transporting the palm to the factory from the smallholder farmers across Liberia,” Guanue added.