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Thursday 2 February 2017

Why does Nigeria import so much rice?


Rice is the basis of the popular jollof, a national dish and staple across the country.

The problem with rice availability in Nigeria is not a lack of land, or that there are not enough people to grow it in Africa's most populous country.

During the grain market crisis eight years ago, Nigeria experienced shortages in rice that made the country rethink its food security and ability to supply the local market.

As a result, President Muhammadu Buhari has made rice farming a priority.

Nigerians' appetite for rice means that the country imported nearly 17 million tonnes of it over the past five years. Duties for imported rice are currently 60% and consumers have seen the price of a bag of rice double in the past 12 months.

Many domestic players have been entering the market. Olam, a multi-national agribusiness, set up a rice farm in 2012 in response to government calls for local players to help feed the 170 million Nigerians
  •     Imported nearly 17 million tonnes over the past five years
  •     Imported 2.3 million tonnes in 2016
  •     2016 demand was 5.2 million tonnes
  •     Spends $5m (£4m) a day for rice shipments
  •     Rice accounted for 1.26% of the entire budget for 2017

Olam's farm in Rukubi village close to the Benue River in Nasarawa State grows 50,000 tonnes each year, that is still just a small fraction of the country's demand.



According to the United Nations Food and Agriculture Organisation (FAO), the country imported 2.3 million tonnes in 2016, about half of the country's estimated requirements.

The agriculture minister claims that Nigeria will become self-sufficient in rice production by the end of the year. However, critics of government policy not only point to a lack of spending on agriculture, but also to an under-investment in the entire value-chain for rice, from field to cooking pot.






Credits: BBC



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