<p></p>
<div>
<p>On January 18, 2022, the <a target="_blank" href="http://gistreel.com/tag/CBN"><strong>Central Bank of Nigeria (CBN)</strong> </a>and the <a target="_blank" href="http://gistreel.com/tag/RIFAN"><strong>Rice Farmers Association of Nigeria (RIFAN)</strong></a> made headlines with the unveiling of rice pyramids in Abuja, a symbol of Nigeria’s progress in rice production under the Anchor Borrowers Programme (ABP).</p>
<p>However, three years later, t<strong>he narrative has shifted, with the country once again relying heavily on rice imports to meet demand.</strong></p>
<h3>The Anchor Borrowers Programme: A Promising Start</h3>
<p>Launched under former CBN Governor Godwin Emefiele, the ABP aimed to reduce Nigeria’s dependence on rice imports by supporting local farmers. By 2021, the program achieved notable milestones:</p>
<ul>
<li>According to Vanguard,<strong> 4.489 million farmers</strong> were funded, cultivating <strong>5.3 million hectares</strong> of farmland nationwide.</li>
<li>The number of integrated rice mills grew from <strong>6 in 2015 to over 50 by 2021</strong>.</li>
<li><strong>Thailand’s rice exports to Nigeria</strong> dropped significantly, from 1.3 million metric tons in 2014 to just 2,160 metric tons in 2021.</li>
<li>Local rice production surged from <strong>5.4 million metric tons in 2015 to over 9 million metric tons in 2021</strong>.</li>
</ul>
<p>Despite these achievements, rising rice prices due to demand-supply gaps and economic challenges signaled underlying issues.</p>
<h3>Decline in Rice Production by 2024</h3>
<p>By 2024, rice production had dropped to <strong>8.1 million metric tons</strong>, below the annual demand of 10 million metric tons. The decline was driven by:</p>
<ol>
<li><strong>Insecurity:</strong> Persistent violence disrupted farming activities.</li>
<li><strong>High Input Costs:</strong> Fertilizers and farming essentials became prohibitively expensive.</li>
<li><strong>Currency Devaluation:</strong> Increased costs of imported farming inputs impacted local production.</li>
<li><strong>Climate Change:</strong> Erratic weather patterns reduced yields.</li>
<li><strong>Policy Inconsistencies:</strong> Unstable agricultural and trade policies discouraged investment.</li>
</ol>
<h3>Impact of Rising Food Inflation</h3>
<p>By November 2024, food inflation reached a record <strong>39.93%</strong>, with staples like rice, yam, maize, and palm oil becoming unaffordable for many Nigerians. A <strong>50-kg bag of rice</strong>, which cost â¦8,500 in 2015, had skyrocketed to â¦95,000–â¦105,000 by late 2024.</p>
<h3>Government Interventions: Limited Effectiveness</h3>
<p>In July 2023, President Bola Tinubu declared a food security emergency and introduced a <strong>150-day duty-free window for rice, maize, and wheat imports</strong> in 2024. While this temporarily boosted supply, critics argue that:</p>
<ul>
<li>It undermined local farmers by making imported rice cheaper.</li>
<li>It failed to significantly reduce food inflation due to limited implementation.</li>
</ul>
<h3>Reviving Rice Production: Recommendations</h3>
<p>Experts propose several strategies to revitalize the rice sector:</p>
<ol>
<li><strong>Enhance Security:</strong> Deploy security forces to protect farmers and farmlands.</li>
<li><strong>Invest in Irrigation:</strong> Build infrastructure for year-round farming.</li>
<li><strong>Subsidize Inputs:</strong> Provide affordable fertilizers, seeds, and mechanized tools.</li>
<li><strong>Ensure Policy Stability:</strong> Create consistent policies to attract private investment.</li>
<li><strong>Adopt Climate-Smart Practices:</strong> Promote resilient crop varieties and sustainable farming techniques.</li>
<li><strong>Regulate Markets:</strong> Prevent price exploitation during periods of scarcity.</li>
</ol>
<h3>The Path Forward</h3>
<p>Nigeria’s potential to become a global rice exporter lies in addressing systemic issues in production and distribution. With vast arable land and resources, a renewed focus on sustainable agricultural practices, investment in infrastructure, and long-term policy planning can help the country reclaim its path to rice self-sufficiency.</p>
</p></div>
<p><a href="https://www.gistreel.com/from-%E2%82%A62500-to-%E2%82%A6105000-how-rice-prices-skyrocketed-in-24-years/" previewlistener="true">Source link </a></p>

