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Home » NAPPMAN seeks processing plants to boost forex earnings
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NAPPMAN seeks processing plants to boost forex earnings

By The Hope Newspaper30 August 2026No Comments5 Mins Read
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By Fatima Muraina

Rubber farmers in Ondo State have called for massive government investment in rubber production and processing, saying the sector has the potential to become a major source of foreign exchange and employment for the state and Nigeria.

The Chairman of the Ondo State chapter of the National Rubber Producers, Processors and Marketers Association of Nigeria (NAPPMAN), Mr Olanrewaju Oladapo, made the call in an interview with THE HOPE.

Oladapo said although Ondo remained one of Nigeria’s major rubber-producing states, the sector had been neglected by successive administrations, with greater attention being given to cocoa and oil palm.

He said the absence of adequate processing facilities had continued to deprive farmers and the country of huge revenues, as most of the rubber produced locally was sold to off-takers who processed it into semi-finished products before exporting it.

According to him, the price difference between locally sold rubber and the value of processed rubber on the international market is substantial, making it imperative for Nigeria to increase its processing capacity.

“By the time the rubber is processed into semi-processed products and exported, the price difference is almost 100 per cent compared with what we sell locally. The difference is quite huge,” he said.

Oladapo stressed that establishing more processing factories in rubber-producing states would enable farmers to add value to their products and earn better returns.

He noted that foreign companies operating in the sector often export semi-processed products, rather than finished products, thereby leaving Nigeria to lose additional revenue that could have been generated through local value addition.

“We need to start processing. That is the main point. We need to create more processing factories in states that produce rubber,” he said.

The NAPPMAN chairman said the government must intervene through improved access to land, subsidised seedlings, financial support and other incentives to encourage large-scale investment in rubber production.

He argued that individuals alone might not be willing to commit huge capital to rubber production because of the long gestation period, insecurity and other risks associated with agricultural investments.

“Government needs to give more support in terms of finance so that we can do it in large quantities. We need massive financial capital investment into rubber production,” he said.

Oladapo also called for increased investment in research to develop improved rubber varieties capable of reducing the period farmers have to wait before harvesting.

 

He said Nigeria could learn from developments in other agricultural commodities, particularly oil palm, where research had significantly reduced the time required before farmers could begin harvesting.

He urged the government to strengthen research institutions working on rubber and collaborate with countries that had made significant progress in rubber production and processing.

“If research institutes can work on hybrid varieties that can enable us to start harvesting within four years, it will make a great difference. Government needs to put more concentration into this,” he said.

Oladapo identified the Rubber Estate in Ondo State, formerly associated with Michelin Nigeria, as an important player in the state’s rubber industry.

He, however, said the estate alone could not meet the processing needs of the state, stressing the need for additional processing facilities and greater support for smallholder farmers.

He recalled that the rubber estate had previously supported smallholder farmers by providing technical assistance and encouraging them to establish their own plantations.

“I was one of the beneficiaries who was encouraged and given technical support to have my own plantation. Unfortunately, government is not really helping,” he said.

According to him, rubber has an advantage over some other cash crops because once the latex is harvested and processed into lumps, it can readily enter the marketing and processing chain.

He said Ondo State should also do more to secure stronger national and international recognition for its rubber industry.

He noted that although Ondo was among Nigeria’s leading rubber-producing states, alongside states such as Edo, Delta and Ogun, the state government had not sufficiently promoted the commodity.

Oladapo said the association had approached government officials, including the Ministry of Forestry, seeking greater support and recognition for rubber production.

He also disclosed that the association had advocated the establishment of a dedicated Rubber Day to promote awareness of the crop and its economic importance to the state.

He lamented that the sector had gradually lost prominence in Ondo State as government attention shifted towards cocoa and oil palm.

“Subsequent governments have actually subdued the impact of rubber in our state. The concentration is on cocoa and oil palm, but rubber, which has been here all this while, has been neglected and not encouraged,” he said.

Oladapo said the economic potential of rubber was enormous, citing Côte d’Ivoire as an example of a country that had successfully developed its rubber industry.

He said Nigeria’s comparatively low earnings from rubber exports showed that the country was not taking full advantage of the commodity’s potential.

He argued that increased production, local processing and conversion into finished products could substantially improve Nigeria’s foreign exchange earnings and contribute to the country’s Gross Domestic Product.

Beyond foreign exchange earnings, the NAPPMAN chairman said the development of the rubber value chain would create thousands of jobs, particularly through the establishment of larger plantations and processing factories.

“The larger the farms, the more staff we have, and the more processing units we establish, the more people we will engage,” he said.

He further called for the provision of modern processing equipment, noting that Nigeria could source the necessary technology from countries with established rubber industries.

Oladapo expressed optimism that with stable government policies, adequate financing, improved seedlings, land access, research and local processing, rubber could become one of Nigeria’s major foreign exchange earners.

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