There are projections that the price of rice will further increase in 2024.
This is according to predictions from the Association of Foreign Exchange (AFEX) which predicted a 36% rice in price of rice.
Many may not know that the shortfall in the production rice has contributed to this challenge.
Rice Farmers Association of Nigeria (RIFAN) has called on the federal government to restart the Anchor Borrowers Program (ABP)
The farmers also urged the FG to address insecurity across the country as a measure to stem the ever-increasing rice prices.
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RIFAN Vice President, Nnenna Ejim disclosed this in an interview, while highlighting reasons for the recent hike in rice prices.
Factors Responsible For Increase In Price Of Rice
“The hike in rice prices were caused by the prevalence of the rice blast disease, insecurity, farmer-herder conflicts and inflation of input cost.
“Government policy on anchor borrower was not implemented last year because of election and other factors and this has created a huge gap in rice cultivation hence the hike.”
“The Russian-Ukraine war is affecting us seriously because they are the greatest provider of fertiliser and other input which we are the moment we have difficulties getting such input.
“The way forward in ensuring a drastic reduction in the price of rice is that the government should prioritise the security of its populace both in the farms and around communities.
“Farmers should be given inputs at subsidised rates.
“Farmers should also be enlightened on climate-smart agriculture so that they will not risk their life and produce trying to cultivate areas with lots of floods.”
Anchor Borrowers Program
The Anchor Borrowers Program (ABP) began in November 2015 to foster economic connections between Small Holder Farmers (SHF) and Anchors.
Approximately 4.67 million maize, rice, or wheat farmers benefited from the program.
A total of ₦1.12 trillion was disbursed to 563 anchors, with ₦670.4 billion repaid and ₦450.90 billion outstanding.
Increase in rice prices
Research has revealed that in 2024, the price of rice will rise to ₦88,000 per 50kg bag.
This is in line with earlier projections made towards the end of 2023.
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AFEX exchange forecast a 36% increase in rice prices for 2024 due to decreased production capacity and rising demand.
Food inflation continues its upward trajectory, with February’s figures from the NBS revealing a rate of 37.9%, marking one of the highest levels in recent times.
