The Federal Government has brought together government institutions, farmers, millers and other stakeholders to examine rice production costs, market conditions and consumer affordability across Nigeria’s rice value chain.
The technical consultation, convened by the Presidential Food Systems Coordinating Unit (PFSCU) and the Federal Ministry of Finance, is part of efforts to strengthen food security, domestic production, farmer livelihoods and private-sector investment.
Stakeholders identified high production costs as a major challenge, with rice production estimated at about ₦2.2 million–₦2.3 million per hectare. Fertiliser alone accounts for roughly 35% of production costs, while high energy and irrigation expenses, limited access to affordable long-term financing, post-harvest losses and inadequate storage also continue to affect the sector.
Participants called for increased investment in irrigation, including solar-powered systems, storage and aggregation infrastructure, as well as improved financing and refinancing options for rice mills and processors.
They also urged the government to adopt more predictable trade and import policies that take domestic production cycles into account, warning that large price differences could encourage smuggling.
The government plans to produce a consolidated technical report outlining the current state of Nigeria’s rice value chain and priority measures for improving its competitiveness and affordability.
Meanwhile, a Nairametrics market survey found that the price of a 50kg bag of rice ranged from ₦53,000 to ₦82,000 in different markets during the first week of May 2026, with prices influenced by location, transportation costs, supply and regional demand.