Farmers reveal the reason for the collapse of rice industry in Nigeria

• Rice farmers successful Nigeria are lamenting the interaction of imported and smuggled atom successful Nigeria, particularly its effect connected farmers
• The Competitive Africa Rice Forum, Nigeria chapter, alerted the Nigerian authorities to the effect of selective waivers connected atom imports
• The Forum’s Bot Chairman, Peter Dama, said Nigeria’s atom manufacture is connected the verge of illness arsenic imported atom prices person crashed

Legit.ng’s Pascal Oparada has reported connected tech, energy, stocks, concern and the economy for implicit a decade.

Rice farmers nether the aegis of the Competitive Africa Rice Forum, Nigeria chapter, person alerted the Nigerian authorities to the dangers of selective import work waivers, atom smuggling and marketplace distortions.

The president of the Board of Trustees of the forum successful Nigeria, Peter Dama, said that Nigeria’s atom sector, with implicit 13 cardinal metric tonnes of milling capacity, is underutilised owed to imported and smuggled rice.

Rice farmers pass the Nigerian authorities of the interaction of imports and smuggling. Credit: Picture Alliance
Source: Getty Images

Rice farmers pass of the sector’s collapse

He warned that contempt much than 20 years of public-private investment, the assemblage is connected the verge of shutting down.

Dama lamented that section mills are closing shops owed to contention from subsidised imports and smuggled rice.

Specifically, Dama pointed to the 180-day import work waiver fixed by the Nigerian authorities past twelvemonth to import husked brownish atom and different nutrient items.

Dama said the argumentation severely impacted section producers, contempt the comparative diminution successful atom prices nationwide.

FG argumentation collapses atom production

He said the argumentation collapsed the request for paddy atom successful Nigeria, leaving farmers with unsold products.

Dama said that owed to this, respective millers reduced oregon stopped operations and thousands of jobs were mislaid crossed rice-producing states, including Kebbi, Kano, Ebonyi, Plateau, Nasarawa, Jigawa, Ekiti, Benue, Akwa Ibom, and Adamawa.

He revealed that the younker and women-led groups were the astir affected, arsenic the gains of respective years were reversed overnight.

The Forum’s BoT brag warned that these drawbacks discourage aboriginal investments successful the assemblage and trim farmers’ involvement successful atom production.

According to Dama, the smuggling of substandard atom done the borders undermines farmers.

He said smuggling continues to impact the efforts of morganatic producers, stressing that the inclination could origin socio-economic implications.

Farmers inquire for FG’s intervention

He asked the Nigerian authorities to promptly intervene to prevention the atom industry and support the livelihoods of astir 5 cardinal Nigerians who beryllium connected the atom worth chain.

Dama asked the authorities to extremity selective import waivers, guarantee transparency successful commercialized incentives, reaffirm the merchandise arsenic a protected crop, boost the Nigeria Customs capableness to cheque smuggling, and deploy rapid-response enforcement teams astatine the nation’s borders.

Dealers clang 50kg container of atom by N25,000 arsenic imports soar. Credit: Novatis
Source: Getty Images

Importers clang atom prices

The New Telegraph reported that Dama said that protecting the atom assemblage is not an economical precedence alone, but an indispensable measurement to ensuring nationalist resilience and nutrient security.

A erstwhile study by Legit.ng disclosed that importers crashed the commodity’s prices by arsenic overmuch arsenic N25,000 per 50k container arsenic India lifted the embargo connected exports.

The world’s largest atom shaper had restricted exports to support section producers and amended income locally.

However, owed to the alteration successful the country’s export policy, Thailand, different ample producer, accrued its exports to West African countries, including Togo and the Benin Republic, impacting supplies successful Nigeria.

Dangote partners to clang atom prices

Legit.ng earlier reported that Nigeria’s efforts to trim nutrient prices has received different large boost arsenic Africa’s richest man, Aliko Dangote, unveiled a multi-billion naira rice accumulation initiative successful Niger state.

This is coming days aft chap billionaire Abdul Samad Rabiu vowed to proceed crashing atom prices crossed the country.

Speaking astatine the opening of the 2025 Niger National Trade Fair successful Minna, Fatima Abdurrahman, elder peculiar advisor to the president of Dangote Group, said the conglomerate is processing a 32-metric-tonnes-per-hour atom mill connected a 30-hectare tract successful Wushishi.

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Source: Legit.ng