Nigeria: The ‘Rice’ Billionaires

On May 8, 2008 / By Imnakoya / In Corruption, Nigeria

Govt halts duties on rice – Guardian:

THE Federal Executive Council (FEC) yesterday took further measures aimed at cushioning the impact of the global food crisis in the country, approving the suspension of all levies and duties on rice imports between now and the end of October this year. The Council also approved a total of N10 billion, drawn from the Rice Levy Account, for a credit scheme in support of local rice processing.

This is the one of the best time to get into rice business in Nigeria – the feds has lifted all importation restrictions on the good.

The government order 500,000 T of rice from Thailand, and has opened the door to all private operators till October – six months of zero import duties.

Since rice is a staple food in Nigeria and prices have skyrocketed nationwide, the best fix is to import on a large scale – local production is too low to make any impact, we are told.

So will rice prices dip once the imports start flowing in?

Maybe. The measure is too short-term and has limited economic sense.

For sure, I see some Nigerians becoming overnight billionaires!

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4 Responses to “Nigeria: The ‘Rice’ Billionaires”

  1. More money for Dangote.

    By Chad
    May 8, 2008 at 5:57 pm

  2. Should I? I ask myself

    By Ababoy
    May 9, 2008 at 5:52 am

  3. Please read this:
    As rice turns gold, Nigeria chases shadow

    How long have we been rearing about local rice production?

    Gov Agagu was quotes while briefing the press:
    “One thing that should be recognised is that Nigeria has not been caught unawares. The budget we presented is a food emergency budget. All the interventions of the president has taken cognizance, long time ago, of an iminent world food crisis against which Nigeria has positioned itself to protect its citizens through enhanced production.”
    There are so many problems with what the government said. Government cannot tell Nigerians that it has been promoting local production of rice because there is no evidence to support that. If local production has been receiving such support, we would not have found ourselves in this massive importation of rice scenario. If local rice is available, then let the government not bother about importing rice, but encourage its citizens to change to local rice.

    By Bobby
    May 9, 2008 at 11:10 am

  4. [...] More on rice – Nigeria’s staple food. [...]

    By No, Nigeria Need not Spend $700 Million on Thailand Rice! :: Grandiose Parlor
    May 17, 2008 at 4:12 pm

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