The Federal Government and stakeholders across Nigeria’s rice value chain are seeking urgent measures to reduce production costs and improve supply after it was revealed that cultivating a hectare of rice now costs between N2.2 million and N2.3 million.
The figure was disclosed on Tuesday during a technical consultation on the country’s rice sector organised by the Presidential Food Systems Coordinating Unit, PFSCU, in Abuja. The meeting brought together government agencies, rice-producing states, farmers, processors, millers and industry associations.
According to a statement by the Executive Secretary of PFSCU, Marion Moon, participants identified high production costs as a major constraint to the competitiveness of locally produced rice. She noted that fertiliser alone accounts for about 35 percent of total production cost, while high energy and irrigation costs, limited access to long-term financing, post-harvest losses and inadequate storage remain critical challenges.
Stakeholders at the consultation called for increased investment in irrigation infrastructure, including solar-powered water systems, to enable year-round production. They also advocated stronger financing and refinancing options for viable rice mills and processors, as well as improved storage and aggregation systems to reduce losses.
The consultation is expected to produce a consolidated technical report outlining priority actions for the sector, with emphasis on lowering production and logistics costs, strengthening market data systems, improving food safety and traceability, and ensuring predictable trade policies that consider domestic production cycles to boost competitiveness and consumer affordability.
High Cost Of Cultivating Rice Hits N2.3m Per Hectare, FG And Stakeholders Move To Cut Production Expenses
