Why Rice Prices Are Rising in Nigeria, According to Farmers

The continuous rise in the price of rice across Nigeria has been linked to the activities of cartels, middlemen, and unscrupulous players within the sector, according to rice farmers’ associations.

Speaking in Lagos, leaders of the All Farmers Association of Nigeria (AFAN) and the Rice Farmers Association of Nigeria (RIFAN) accused a cartel of manipulating supply to create artificial scarcity, despite government interventions aimed at stabilising prices.

Mr. Sakin Agbayewa, Vice Chairman of AFAN, said the sharp fluctuations in rice prices were “man-made,” not a result of insufficient production.

“A few months ago, the federal government gave import waivers to some companies to crash rice prices. During that time, rice prices dropped, but while imports were ongoing, some players were stockpiling rice in warehouses,” Agbayewa said.

“Now that the waiver has ended, they have created scarcity. Some farmers and middlemen are even rebagging local rice in foreign sacks just to sell at higher prices, exploiting Nigerians’ preference for imported rice,” he added.

He warned that insincerity within the value chain—from farmers to retailers—was fueling the crisis.

Similarly, Mr. Raphael Hunsa, Chairman of RIFAN Lagos State, stressed that government interventions were not reaching genuine farmers. He urged authorities to work directly with local rice growers in order to reduce prices sustainably.

“The price will continue to rise if the government does not support local rice farmers properly. Interventions should go to the right hands, not middlemen. We are calling for direct engagement with real farmers so policies can address the actual problems,” Hunsa said.

He also cautioned farmers against selling off inputs provided by government, urging them to use the support to boost production.

Traders in Lagos markets confirmed the sharp price surge. At Oja Oba Market in Agege, rice dealer Mr. Mustafa Aliu said a 50kg bag of rice now sells for between ₦70,000 and ₦80,000. At Iddo Market, another trader, Mr. Temitayo Hakeem, said some premium brands go as high as ₦145,000 to ₦150,000 per bag.

Just two months ago, a 50kg bag of rice sold for between ₦45,000 and ₦55,000.