Port Moresby, Thursday, April 17, 2025 – The Madang Provincial Government has formally signed a Memorandum of Understanding (MoU) with the Oil Palm Industry Corporation (OPIC), signalling a transformative step towards expanding the oil palm sector in the province. The MoU, signed on Thursday, April 17 in Port Moresby, was officiated by Minister for Oil Palm, Hon. Francis Maneke, and witnessed by Acting Provincial Administrator Daniel Aloi and former Provincial Administrator Clant Alok, and OPIC General Secretary Kepson Pupita.
This milestone agreement comes as Papua New Guinea commemorates 50 years of independence, and aligns with national efforts to unlock the country’s vast agricultural potential, reduce import dependence, and drive rural economic development.
Delivering his remarks during the ceremony, Madang Governor Hon. Ramsey Pariwa described the agreement as a “new chapter” for the province and for the country’s oil palm sector. He underscored the strategic importance of the commodity as a high-yielding crop capable of generating significant revenue and employment for rural communities.
“Today is not just about signing a document. It’s about charting a clear path to economic empowerment for our people,” Governor Pariwa said. “Oil palm has the capacity to transform lives, and Madang is now ready to lead that transformation.”
While Madang is already home to Ramu Agri Industries, which operates oil palm plantations in the province, Governor Pariwa emphasised that the new partnership focuses on expansion, inclusivity, and local ownership. He revealed that the provincial government has allocated K1 million in its 2025 budget to kick-start oil palm initiatives in alignment with the National Oil Palm Policy and the National Agriculture Sector Plan 2024–2033.
“This MoU provides a framework for action. It enables the province and OPIC to come together, design a structure that works for our unique setting, and deliver real benefits to landowners, smallholders, and investors alike.”
The Governor praised Minister Maneke for his personal commitment to the sector, highlighting the Minister’s visit to Madang in late 2024 to initiate groundwork with local stakeholders. He noted that the Minister’s background in oil palm has brought credibility and momentum to the national push for agricultural expansion.
“The establishment of a dedicated Oil Palm Ministry under the Marape-Rosso Government shows vision. It shows that we are serious about agriculture as the backbone of our economy,” he said. “We now have a team and a structure in place to roll this out, starting with Madang as a pilot province.”
Governor Pariwa said the partnership will support oil palm development across several key districts, including Ramu, Sumgilbar, Middle Ramu, Trans Gogol, Ramu-Raikos, Bogia, and Sumkar. The provincial government will lead land mobilisation efforts to ensure land availability, investor confidence, and active participation of local communities.
He further indicated that Madang will adopt a “hybrid model” tailored to its own social and geographical context, rather than copying models from provinces like West New Britain or Oro. The structure, he said, will prioritise both commercial estates and smallholder inclusion.
“We want a model that works for Madang—one that includes everyone. Our plan is to empower rural communities, create employment, and generate provincial revenue through sustainable agriculture.”
In addition to oil palm, Governor Pariwa outlined the province’s broader commitment to diversifying its agricultural base. He confirmed ongoing investments in cocoa and coffee, and highlighted the recent launch of the Madang SME Credit Scheme, designed to enable local entrepreneurs to access finance and scale up agribusinesses.
“Agriculture is our way forward. It is how we empower our people, especially in remote areas. This MoU is one step among many we are taking to stimulate our economy and change the lives of our people.”
The Governor called on all leaders—national and local—to stop the distractions of political infighting and refocus on delivering real change on the ground.
“Let us not waste energy on political noise. Let us get back to our provinces and do the hard work. This is the time to build our economy from the ground up,” he said. “As PNG turns 50, let’s honour the past—but more importantly, let’s start the next 50 years with action.”
He ended by reaffirming Madang’s commitment to supporting the Marape-Rosso Government’s economic development agenda and pledged full support to Minister Maneke and the OPIC team.
“With the leadership now in place, and with the right policies guiding us, Madang is ready. This is our time to lead in agriculture, and oil palm will be the spearhead of that movement.”
The event was attended by senior officials from OPIC, the Oil Palm Ministry, and Madang Provincial Administration. The MoU sets the stage for immediate consultations on planning, project structure, and implementation rollout in the coming months.
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