Price of local rice will crash to N6,000-farmers association

 

The Rice Farmers Association of Nigeria (RIFAN), has assured that price of locally produced rice would reduce from N18,000 per 50kg. bag to N6,000 within the next few months.

RIFAN, however, hinged the drastic reduction in price of rice, which had become Nigerians staple food, on if the country records bumper harvests and low cost of production.

The National President of RIFAN, Aminu Goronyo, disclosed the reduction during a meeting with Rice Processors Association of Nigeria (RIPAN) and the Minister of Agriculture and Rural Development, Audu Ogbeh, in Abuja on Wednesday.

Goronyo said that although RIFAN and RIPAN had agreed to fix the current price of 50 kg. bag of rice at between N13,000 and N13,500, the price would further crash to N6,000 within the next few months if there were bumper harvests and low cost of production.

He said that the drastic reduction in the price would be made feasible if the cost of rice production was cut through the Federal Government’s support to rice farmers.

“This is just the beginning. The actual price will still come down because we are expecting a bumper harvest this year; we have sat down with the millers and agreed that we will work together for the interest of Nigerians.

“At one time, people were buying a bag of rice at the cost of N18,000 but they are now buying it at between N13,000 and N15,000. The price is coming down. In the next few months, God willing, the price of a 50kg. bag of rice will come down to N6,000. It is achievable, it will be a reality,’’ he added.

The Chairman, RIPAN,  Mohammed Abubakar, said that the associations had signed a Memorandum of Understanding (MoU) to slash the prices of both paddy and processed rice.

Abubakar said: “We have agreed at N110,000 per tonne of paddy. In the market, rice will come around N13,000 to N13,500 per 50kg. bag. Before now, we were buying paddy at N140,000 and N150,000 per tonne and we are selling our rice at N16,000 per 50kg. bag. If this MoU works, we hope to sell a bag of rice at N13,000 to N13,500, depending on where you are in the country.”