Palm Oil prices increase in Delta state

“Production of palm fruits is usually low in the rainy season.”

Palm Oil prices recorded about 11 per cent increase in Delta State between May and July, a recent survey has revealed.

Individual oil palm fruit are drupes with an oily, fibrous mesocarp.

Investigations in the state’s major market indicated that a 20-litre container which was sold for N4,200 in late May had increased to N5,000. Four litres of the product has also risen to N1,300 from N1,000.

A litre of the commodity in markets at Asaba, Ughelli, Warri, Agbor and Sapele now sells for N450 as against N300.

Some dealers in the commodity attributed the increase in the prices to a reduction in supply.

Grace Nwabunie, a dealer in Asaba, said that palm oil prices increase between May and January. She explained that “during this period” there is always scarcity of the product in all the village markets, adding that there would be further rise in the price of the product before the end of the year.

Faith Akabuogwu, another palm oil seller in the state capital, corroborated Nwabunie, saying that “from now till January, the price of palm oil will increase about two times”, adding that it was a trend tied to the seasons.

Palm fruit was also affected in the price increase during the period, with a custard-bucketful of it currently selling at N400 from its old rate of N300.

According to investigations, a custard bucket of the commodity sold at N300, now sells for N400.

However, some farmers have said the rise in the price of palm produce was due to the rainy season. One of them, Mr Peter Okoro, said that production of the commodity was always low during the rainy season.

-By Adaego Ogbulafor 

Source: DailyTimes