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Cameroon home production of Palm Oil declines as Imports soar

Despite colossal investments and jobs generated, the oilseed sector in Cameroon remains under pressure. With a structural deficit of 160,000 tonnes of crude palm oil and increasing imports, the challenges related to local production, regulation and unfair competition worry the sector’s players.

Over the past seven years, Cameroon has seen its imports of crude palm oil increase from 96,000 tonnes in 2017 to 225,000 tonnes in 2024, according to the Association of Oilseed Refiners of Cameroon (Asroc). These volumes, representing an increase of 29,000 tonnes, reflect the inability of national production to meet an annual demand estimated at 2.4 million tonnes. However, processing units, such as SCR, Azur SA or HACC, have increased their capacities, thus aggravating the structural deficit.

A market weakened by illegal practices

In addition to the pressure on supply, the sector suffers from unfair competition. According to Jacquis Kemleu Tchabgou, Secretary General of Asroc, non-compliant refined vegetable oils and products marketed in violation of standards continue to invade the market. Despite the measures taken, such as the ban on bulk sales by the Ministry of Commerce in September 2023, these practices persist, undermining the efforts of players who comply with the regulations in force.

A major investment, but insufficient

The sector’s stakeholders have invested more than 1,000 billion FCFA, creating more than 60,000 jobs. However, these efforts remain insufficient in the face of growing demand and structural difficulties, particularly in terms of security in certain regions of the country. In November 2024, the projected monthly national production was only 6,466 tonnes, to be distributed to 17 processors, well below the monthly needs estimated at 200,000 tonnes.

Solutions still limited

To avoid a price spike, the government authorized the import of 225,000 tons of palm oil in July 2024. However, this temporary solution is not enough to solve the challenges of the sector. Asroc advocates for better regulation of imports and increased support for local production, in order to reduce external dependence and stabilize the market.

An uncertain future for the sector

If urgent measures are not taken to increase national production and strengthen import controls, the current deficit of 160,000 tonnes risks worsening. The survival of the oilseed sector, which is essential to the Cameroonian economy, depends on a concerted mobilization of private and public actors.

The oilseed sector in Cameroon is at a critical juncture. Between increasing imports, regulatory challenges and pressure on local production, only an integrated and sustainable strategy will ensure its long-term viability.

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