Dealers Quote New Price for 50kg Bag of Rice as Farmers Lament Falling Local Production

• Local rice farmers have blamed unpatrictic Nigerians for the decline in local rice production, asking the government to intervene
• The farmers decried the recent import waiver on selected food items, including rice and other commodities
• The farmers said the recent hike in the price of rice was due to the end of the import waiver by the Nigerian government

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

The price of a 50kg bag of rice in Nigeria has surged again, with market rates now ranging between ₦75,000 and ₦85,000, depending on the brand and location.

This marks a sharp increase from the ₦52,000–₦55,000 range recorded in Q2 2025.

Amid this price spike, local rice farmers are raising the alarm over the declining state of domestic rice production and calling on the Federal Government to intervene.

Farmers say the waiver hurt local production

Raphael Hunsa, chairman of the Rice Farmers Association of Nigeria (RIFAN), Lagos Chapter, blamed recent government policy shifts for hurting local producers.

Speaking to the News Agency of Nigeria (NAN) on Sunday, July 13, 2025, he said that the end of the six-month import tax exemption has led to an artificial glut of imported rice, discouraging local farming.

"Some individuals are deliberately frustrating local production because they know if we are empowered, importation will stop," Hunsa said.

He urged the government to provide agricultural inputs and equipment directly to farmers, not through intermediaries or political channels.

Stakeholders urge monitoring and collaboration

Hunsa assured that farmers would monitor and manage government-issued equipment properly if given direct access. He warned commodity leaders against collaborating with profiteers who sabotage local agriculture.

Meanwhile, Femi Oke, chairman of the All Farmers Association of Nigeria (AFAN) for Lagos and Southwest, called for more farmer-inclusive policymaking. He said that without engaging farmer associations, any policy designed to boost rice production would likely fall short.

Government waiver ends, prices spike

According to Oke, “The price of rice dipped briefly because of the Federal Government’s tax exemption. Now that the subsidy has ended, the prices are rising again.”

He stressed that rice is a household staple and warned that failure to support local farmers could further escalate food inflation.

“If the parents don’t eat rice, the children surely will. So we must all work together to stabilise the price,” he said.

Nigeria still imports 2 million tonnes of rice

Despite Nigeria’s annual local rice production capacity of 8.44 million tonnes, the country still imports about two million metric tonnes yearly, making it one of the largest rice importers globally.

Experts warn that unless urgent action is taken, local rice production may collapse under the weight of foreign competition, fuelled by policy inconsistencies and a lack of farmer support.

Farmers are urging the Federal Government to liaise with associations, boost funding, and ensure that rural rice farmers are fully empowered to bridge the gap.

Nigerian billionaire is set to crash rice prices

Legit.ng earlier reported that Abdul Samad Rabiu, the chairman of the BUA Group, promised to reduce further the cost of rice and other food goods, which he said had already dropped in the previous 12 months.

He said that President Bola Tinubu's "foresight" contributed to the country's food price collapse and praised him for waiving import duties.

The Tinubu administration announced in July 2024 that customs charges on imported food goods would be suspended to combat food inflation.

Proofreading by Kola Muhammed, copy editor at Legit.ng.

Source: Legit.ng