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Business

Commissioner attributes high cost of rice to increased production cost

The high cost of rice in the market has been attributed to the increased cost of production, owing to the rising input cost.

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local, Rice will be abundant this Christmas, RFAN says

The Ebonyi State Commissioner for Agriculture and Natural Resources, Mr. Moses Nomeh, has attributed the high cost of rice in the market to the increased cost of production, owing to the rising input cost.

According to data compiled by Nairalytics – the research arm of Nairametrics, during its Household Market Survey in October, the price of a 50kg local bag of rice which sold for N21,750 as of November 26, 2019, sold for N29,750 three weeks ago- 36.8% higher.

READ: Lagos Multi-billion naira rice mill nears completion

Mr. Nomeh, who is the Agriculture Commissioner of one of the key rice-producing states in Nigeria, disclosed in Abakaliki on Wednesday, that farmers are not to be blamed for the persistent increase in the price of staple food items in the country, especially rice.

READ: CBN invests over N120 billion on 320,000 farmers across CTG within four years

According to the news report by the News Agency of Nigeria (NAN), Mr. Nomeh asserted that the cost of production, which covers inputs such as labor, hiring of machinery, land, and herbicides has increased tremendously.

Therefore, as it is imperative to make profits or at least break-even, the farmers had to increase the price of rice to compensate for the persistent increase in the costs of production.

READ: Flour Mills of Nigeria Plc: Increase in agro-allied, others boost revenues

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What they are saying

Commenting on this development, the Commissioner said, “Farmers are not to blame for the increase in the cost of rice; the cost of production has doubled, don’t forget also that farmers must make small profits.

“They are business people too, they must factor in the cost of production to the final cost of the product. The business will crumble if such is not done.”\

READ: Bitcoin Whale transfers $1.1 billion worth of crypto for $3.58

However, in defense of the consumers, Mr. Nomeh said, “Every consumer wants maximum satisfaction from their money, our farmers have to bear this in mind as business people.”

Explore Data on the Nairametrics Research Website

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Omokolade Ajayi is a graduate of Economics, and a certificate holder of the CFA Institute’s Investment Foundation Program. He is a business analyst, and equity market researcher, with wealth of experience as a retail investor.

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Business

President Buhari adopts new security measures for South East

Buhari has adopted new security measures to tackle insecurity in the South Eastern and South Southern part of the nation.

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President Muhammadu Buhari has adopted new security measures to tackle insecurity in the South Eastern and South Southern part of the nation.

The decision was taken after a memo was presented by the National Security Adviser (NSA), Major General Babagana Monguno (rtd), on the control of drugs, which he said are enablers of Insecurity, but did not also elaborate.

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Business

President Buhari meets with heads of security agencies

President Muhammadu Buhari is currently in a meeting with heads of security agencies at the State House, Abuja.

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President Muhammadu Buhari is currently in a meeting with security agencies and others at the State House, Abuja.

This was disclosed by the Federal Government via its Twitter handle on Tuesday.

It tweeted, “Security Meeting ongoing, at the State House. President @MBuhari presiding, Vice President, SGF, NSA, Ministers, Service Chiefs, IGP, Intelligence Chiefs in attendance.”

More to come soon…

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