The Competitive African Rice Forum—Nigeria Chapter (CARF-FSD Nigeria) has raised the alarm over the future of Nigeria’s rice industry, warning that the sector is on the verge of collapse unless urgent government action is taken.
In a statement issued by the Chairman of the Board of Trustees, Peter Dama, the forum decried policy inconsistencies, unchecked smuggling, and selective import waivers as major threats unraveling nearly two decades of progress towards rice self-sufficiency in the country.
According to Dama, more than 13 million metric tonnes of domestic rice milling capacity now lie grossly underutilised. This, he said, is due to an influx of imported and smuggled rice, which has saturated the market and forced many local mills to shut down operations. Farmers are also abandoning their harvests as demand for locally grown paddy dwindles.
Dama attributed the downturn largely to the federal government’s 180-day duty waiver on food imports, including husked brown rice, which took effect in July 2024. Though intended to curb food inflation and discourage hoarding, the policy has had devastating side effects on the local rice value chain.
The rollout has been widespread, with thousands of jobs lost, particularly in key rice-producing states such as Kebbi, Kano, Ebonyi, Plateau, Benue, and Adamawa. Dama emphasised that youth employment and women-led rice processing clusters have suffered serious setbacks.
CARF-FSD Nigeria has therefore called on the federal government to urgently review its policies and implement measures that protect and prioritize local production. Without swift intervention, Dama warned, Nigeria risks reversing hard-won gains in its agricultural sector and deepening rural poverty.
“This waiver wiped out nearly a decade of hard-earned gains. It has crushed rural economies and reversed efforts to create inclusive, sustainable agricultural growth,” he said
He however warned that if the situation persists, the fallout could extend beyond the economy.
With general elections approaching in 2027, he said the disintegration of rural livelihoods could fuel insecurity, mass migration, and political disillusionment.
“This is no longer just an agricultural issue — it is a political, economic, and security flashpoint,” Dama emphasised.
Speaking further, he called on the federal government to ensure trade policies are transparent and equitable and reaffirm rice as a protected strategic crop.
He said: The Federal government should enhance customs enforcement to combat smuggling along key corridors. Establish a national rice buffer stock and market stabilisation programme.
“Support paddy production through irrigation, mechanization, and access to low-interest agricultural financing. Launch a nationwide campaign to restore consumer confidence in Nigerian rice.
The group stressed that the domestic rice sector is not the cause of rising food prices, but rather the most scalable and inclusive solution to address them.
“If protected and empowered, Nigeria’s rice industry can feed the nation, reduce import dependence, generate jobs, and drive rural development,” the group affirmed.
They reiterated their readiness to partner with the government to secure a stable, resilient, and self-sufficient rice economy for Nigeria.
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