The Federal Government has stepped in to protect Nigeria’s rice industry following the closure of about 90 local rice mills nationwide due to widespread smuggling of foreign rice.

The intervention was announced during a high-level meeting on Monday in Abuja between the Minister of State for Industry, Trade and Investment, Senator John Owan Enoh, and the Rice Processors Association of Nigeria (RIPAN).

According to the Ministry’s Head of Press, Augustina Obilor-Duru, the meeting focused on challenges facing the rice value chain, including illegal imports, rising production costs, and weak infrastructure affecting local processors and farmers.

Speaking at the meeting, Senator Enoh stressed the need for strong collaboration between government and industry stakeholders to stabilize the sector and sustain Nigeria’s rice self-sufficiency.

“Sustainable progress in Nigeria’s rice industry can only be achieved through strong collaboration among government, industry leaders, and private sector stakeholders,” he said. “Every player in the value chain must work together to ensure that Nigeria continues its journey toward self-sufficiency in rice production.”

He warned that the growing influx of cheaper imported rice is undermining local production and discouraging investment. “When smuggled rice is sold at prices far below locally processed rice, it threatens domestic production. The government will take necessary policy actions to protect local industry,” he assured.

Senator Enoh also urged industry stakeholders to provide credible data to help the government design effective policies and emphasized that responsible conduct within the sector would foster transparency, cooperation, and national development.

RIPAN Director-General, Dr. Andy Ekwelem, highlighted the impact of large-scale smuggling, noting that cheaper imported rice has created unfair competition for local millers.

“Smuggled rice enters the Nigerian market at prices that local producers simply cannot compete with. This has forced many rice mills to shut down, while the remaining mills are operating at only 30–70 per cent of capacity,” he said.

Ekwelem added that the rice sector remains a major contributor to the economy, providing direct jobs for more than 100,000 people and supporting over 10 million farmers across the agricultural value chain. He noted, however, that rising production costs, insecurity in farming communities, and inadequate infrastructure continue to challenge local millers.

He further clarified that recent declines in rice prices in some markets should not be mistaken for increased domestic production, but are largely driven by organized smuggling networks moving large volumes of rice illegally into the country. (Vanguard)

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