Influx of foreign rice: N3.4trn investment, 13 million jobs on the line, processors raise alarm

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Uba Group

BY FOLASHADE KEHINDE

ABOUT N3.4 trillion has been invested in the rice value chain production across the country, the Rice Processors Association of Nigeria, has disclosed.

The processors said the rice value chain sub-sector had engaged about 13 million Nigerians on direct employment, noting that the Federal Government must take decisive action on smuggled rice, to prevent the mills in the country from collapsing and causing job losses.

The Director-General of the association, Mr Andy Ekwelem, said this while addressing newsmen in Abuja on Saturday over the influx of smuggled rice into the country.

He appealed to the Federal Government to criminalise the sale of foreign rice in the country, noting that most of the mills in the country were now working at half capacity because there were no off-takers for the products they produced for Nigerian markets.

The director general, however, lauded President Muhammadu Buhari for his giant stride in rice production, adding that there were only six Integrated Rice Mills in the country before 2015, which he said had risen to about 60.

He added that the gains made in the sub-sector in the last few years were possible through the support and interventions of the Central Bank of Nigeria, according to NAN.

He said addressing this challenge of smuggling was paramount so that all these efforts, commitments and resources put in the rice value chain sub-sector would not be a waste.

He said that the government tackled the menace of rice smuggling but with the reopening of borders, the markets were flooded with foreign rice again.

“We have said it many times on the need for government to criminalise sales of foreign rice in the markets and supermarkets. Rice is number one on the list of prohibited products in which CBN placed forex restriction.

“It is assumed that any rice you see in this country now, in the markets, shops and even in your homes that is not Nigeria made rice, it is smuggled into the country.

“The country is losing revenue because these smugglers are not paying the right duties to bring the rice into the country and this ugly development is killing our economy.

“We want a law that will empower law enforcement agencies to go to markets and shops to arrest anyone found with foreign rice because their action amounts to economic sabotage.

“When that is done, people will be discouraged from buying from these people that smuggled rice into the country. We need to take drastic measures against smugglers as well as those selling the products,” Ekwelem said.

Ekwelem, however, appealed to Nigeria Customs Service to step up efforts in manning the borders to curb the activities of smugglers.