The Kpalema Inc, an agrobusiness enterprise with specialty in palm oil farming, had begun construction of a modern vegetable oil factory to transform red palm oil to vegetable oil, which is commonly known as ‘argo oil’.
The Administrator, Newton Guanue told the Daily Observer that Kpalema Agrobusiness Enterprise has about 300 acres of oil palm farmland and is also working with over 280 oil palm farmers in both Nimba and Bong counties.
He said during the peak season of production, the entity can distil about two tons of palm oil an hour, comprising about 48 tins of red oil and most of the oil are sold in the Liberian market, while some are exported.
Kpalema had an oil palm distilling plan and weighing bridge, where palms brought by farmers for sale are weighed for payment, before the truck can be offloaded.
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“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,” Guanue said.
“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,” he said.
When the Daily Observer visited the project site, about 10 kilometers from Ganta, the construction of the factory was ongoing, with the installation of stainless-steel tankers to store the oil.
“The remaining materials for construction of the factory are expected here soon, and we are doing everything to get production ready by early next year,” he said.
Kpalema Agrobusiness Enterprise is operated by Mr. Sylvester Kpai. He has also served as Chief Executive Officer of another locally based organization known as ‘Agriculture and You’.
“Kpalema had over 75 employees and upon the opening of the factory the employment number will increase at least by 50% because we will be working 24hrs daily,” Mr. Sylvester Kpai once told the Daily Observer.
Vegetable oil is highly consumed by Liberians, and the high cost of importation makes the oil very expensive in the market.
However, the management of Kpalema is requesting the national government through the Ministry of Agriculture for a starting capital to get all the branding materials set.
“We are using plastic containers, and these containers are prepared in foreign countries, especially the Ivory Coast, where it may cost us too much money from the beginning of production,” said Guanue, the Administrator.
“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,” he added.