By JASON SOM KAUT
MORE smallholders are venturing into oil palm growing in Markham Valley to supply fruits to the newly set up Ramu oil palm mill.
With the world price for the commodity at its all time high, Ramu Agri-Industries (RAI) Ltd began full production at its new mill last Monday.
Under a deal between RAI and the National Development Bank (NDB), locals can obtain small loans to finance oil palm farming.
RAI provides technical expertise and buys the oil palm bunches from out-growers who are required to cultivate a 2ha-block on their own land.
Chief executive officer Michael Knight noted last week that “oil palm price is really high and it is really a good opportunity for farmers”.
He said there was capacity for more people to venture into the village oil palm (VOP) project on both sides of Ramu in Markham and Madang.
Palm oil mill manager Joe Castle revealed that 150ha of smallholder blocks has been planted so far but added that there is capacity to further increase this.
RAI has planted nearly 5,000ha as it diversifies from a one product company into the leading agri-industrial company in the country.