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Home Sectors Agriculture

High cost of diesel, flood, others affecting price of local rice – Oluwarotimi Fashola

Deborah Dan-Awoh by Deborah Dan-Awoh
December 8, 2023
in Agriculture, Economy, Inflation, Sectors
Nigeria to import 2.1 million metric tons of rice, become top buyer globally in 2024 – USDA 
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The Special Adviser to the Governor of Lagos State on Agriculture, Dr. Oluwarotimi Fashola, has pointed to the erratic rainfall pattern, and hike in the price of diesel as key factors influencing the cost of local rice production. 

 According to the News Agency of Nigeria, this was revealed during an interview with pressmen on Thursday, where Fashola cited various challenges, including intermittent drought, soaring fertilizer prices, flooding, security concerns, reduced land cultivation, suboptimal irrigation systems, and escalating diesel costs, as contributors to the increasing costs associated with rice production. 

  • He explained that the land area dedicated to rice cultivation in 2023 has diminished at the production level, resulting in a price surge. “From 2022 to early this year, Eko rice was sold at N33,000 per 50kg bag, but now, it is N43,000.” 

Highlighting the impact on production costs, he stated, “The cost of diesel has risen from N750 to between N1,300 and N1,500 in the north, and paddy production has considerably reduced.” 

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  • Fashola emphasized that the rising costs are affecting the entire production cycle, stating, “Before the insurgent came in 2018, we were already hitting 12 million tonnes of paddy, but now, we barely do eight million tonnes, and the number of mills has increased.” 
  • “Our land level has returned to what we had in 2015 and 2018 because of insecurity, drought, and flooding.” 

Other challenges in local rice production 

  • Fashola also emphasized the challenges faced by farmers, including the increased cost of fertilizer, stating, “Farmers cannot even afford fertilizer. Fertilizers that used to be between N10,000 and N15,000 are now about N40,000 per bag.” 

In discussing the local rice varieties, Fashola mentioned that many Lagos State farmers are cultivating Ofada rice. However, he expressed optimism about encouraging them to shift towards the type of rice produced in the state’s rice mill. 


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Tags: Rice
Deborah Dan-Awoh

Deborah Dan-Awoh

Deborah Dan-Awoh is a seasoned lifestyle analyst with a knack for storytelling. The focus of her work covers people, money and culture as it relates with business and economy. When she's not keeping tabs on the latest trends in lifestyle and finance- Deborah enjoys networking with industry experts to gain insight into major markets as it affects the populace

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