Farmers Name Those Responsible for Rice Selling Above N80,00 per Bag
- Farmers have raised concerns about the soaring price of food, especially rice, and have named those behind it
- Market traders are calling on the government for engagement and support to curb the price hike
- A 50kg bag of local rice is now selling for over N80,000, according to data published by a financial derivatives company
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Nigerian rice farmers have accused middlemen and cartels of driving the sharp rise in the price of the staple.
The farmers alleged that these middlemen are hoarding and profiteering, which is why government efforts to stabilise the market have not yielded results.
Source: Getty Images
Sakin Agbayewa, vice-chairman of the All Farmers Association of Nigeria, noted that the unscrupulous actors in the sector were deliberately creating artificial scarcity and exploiting Nigerians’ preference for imported rice.
He said:
“The main issue is that the rice price hike can be linked to a cartel that wants to frustrate government’s effort."
Agbayewa alleged that while the Federal Government issued waivers earlier this year to allow limited rice imports and reduce costs, some importers stockpiled rice to profit after the waiver expired.
Agbayewa added:
“Now that the importation waiver is over, the cartel is creating artificial scarcity.
“Some farmers also repack local rice in foreign bags to sell at high prices because they know Nigerians have this high taste for foreign things.”
Source: Getty Images
Rice association seeks govt help
Raphael Hunsa, chairman of the Rice Farmers Association of Nigeria in Lagos State, called on the government to engage directly with genuine local farmers to bring prices down, Vanguard reports.
Hunsa said:
“The price of rice will continue to go up if the government fails to support local rice farmers. “They should invite us to a roundtable for the right policies and programmes. We know our problems, and if they ask us, we will provide solutions.”
He urged farmers to utilise government-provided inputs, such as fertilisers, to boost production instead of selling them off.
Mustafa Aliu, a dealer at Oja Oba Market in Agege, told NAN that a 50kg bag of rice now sells for N70,000 to N80,000.
Temitayo Hakeem, another trader, said:
“There are bags that still sell as high as N145,000 or N150,000, depending on the consumer’s choice."
A new report from the Financial Derivatives Company (FDC) the price of a 50kg bag of long-grain rice is now sold at N87,000.
Egg price crashes
Earlier, Legit.ng reported there is good news for Nigerian households as egg prices dropped by 10%, reversing a year-long trend of sharp increases.
The drop in prices has been attributed to falling maize prices and greater stability in the foreign exchange market.
Traders said the changes have lowered poultry feed and production costs.
A market survey showed that in Lagos, the price of a crate of eggs fell to around N5,400 from N6,000, while in Abuja, prices dropped from N6,200 to N5,800.
Source: Legit.ng
