Tanzania imports and consumes approximately 50,000 metric tons of crude palm oil every month. MeTL Group imports more than twice that much annually for its refinery — 120,000 metric tons of crude palm oil. With an increased demand for refined palm oil globally, the world’s largest exporter, Malaysia, has started processing crude oil and developing its local refineries. Leading to a market shortage of importable raw materials globally.
To reduce dependence on imports of raw materials and contribute to Tanzania’s agrarian rural economy, MeTL Group is acquiring 25,000 hectares of land for large-scale oil palm cultivation. Deploying a forward integration plan, the group will process crude palm oil in its own refinery, the largest in the region.
Oil palms are projected to grow well in Tanzania, where arable land and weather conditions are adequate, thanks to its location — within the required 20 degrees latitude from the tropics. The proposed fallow land for oil palm cultivation is expected to yield approximately 130,000 crude oil metric tons per annum, meeting MeTL Group’s processing factory requirements.