Adesina who made the declaration in Rukubi, near Doma, Nasarawa State, recently while inspecting the 420-hectare rice farm and mill belonging to Olam Nigeria, disclosed that 1.9 metric tonnes of the commodity was produced in the 2013 dry and wet seasons, contributing N320 million to the GDP and creating 367, 000 jobs in the process.
According to him, the Ministry’s ‘rice revolution’ was gaining added momentum with a projected 2.9 million metric tons of rice in 2014. He stated that with importation at about 1.9 to 2.0 million metric tons per annum, Nigeria was now already at the exit door from importation. “We are going to be Thailand of Africa in terms of rice production and export”, Adesina said.
The Minister added that the federal government, under the leadership of President Goodluck Jonathan, is putting in place the enabling environment for production of rice on small, medium and large-scale, through its Growth Enhancement Support scheme (GES) for the rice value chain under the Agriculture Transformation Agenda (ATA) in 2011. These include the development of high-yielding long grain Faro 45 and 52 rice varieties, which yield 6 to 7 metric tons per hectare as against the traditional variety being cultivated by farmers with 1.5 to 2 million tons. He further disclosed that those varieties have revolutionised rice production in Nigeria, as the Ministry - through seed companies - has consistently multiplied and distributed these improved seeds to farmers for cultivation since 2011 when the implementation GES commenced.
In addition to seed and extension support to farmers, the minister listed the development and strengthening of other elements of the rice value chain, including subsidised inputs, mechanization services through Agricultural Equipment Hiring Service (AEHE) for which financing support is accessible through the Bank of Agriculture (BOA) and Bank of Industry(BOI).
The Minister who was visibly impressed with the wide hectarages under cultivation, the growing stockpile of mill-ready paddy rice, mechanized planting and harvesting operations and land preparation for new planting, all going on simultaneously with the installation of the 600 metric ton capacity mill, stated that all the factors favourable for growing and processing large quantities of rice, are not only already in place in the country but effectively working also.
Dr. Adesina disclosed that, prior to the launch of the ATA in 2011, only one integrated rice mill was in place but that in addition to 12 others, the 60, 000 ton Olam Farm mill expected to commence milling in June brings the number of mills to thirteen within three years. Other than these, he said, the small mills, which, according to him are now 4, 350 in number and growing at an annual rate of 40%, are the major rice milling drivers. These small mills, which have taken up the challenge of overcoming previous concerns, such as stone content in locally milled rice, by acquiring de-stoning and polishing machines, the new targets for Nigeria will soon be building up export stockpiles and actually joining the export market.
The Minister equally disclosed that paddy bulking and aggregation centres, a bridge between rice farmers and millers, were going to be set up to effectively address the problems of stock supply security identified by investors in a commissioned study as a concern along with poor infrastructure and access to credit. The paddy bulking and aggregation centres will stock, assess and grade paddy sourced from growers with a view to creating easy access to millers that may have neither farms nor paddy supply from farmers.
These facilities, Adesina said, will further bolster Nigeria’s rice production capacity along with 15 rice and other staple crop processing zone (SCPZ) to be set up at various locations in the country, with a projected contribution of adding $9.0 billion to the GDP.
Earlier, while briefing the Minister and his entourage, as well as journalists who visited the Olam Farm for progress assessment, the country head of the farm, Mr. Mukul Mathur and the Rukubi farm manager, Mr. Regi George, stated that Olam Farm is a subsidiary of Kewalrams Group, which has been in Nigeria for 150 years and in different sectors of agriculture for 25 years.
The company’s foray into rice farming began four years ago, with the Rukubi rice farm and mill being its biggest commitment with $72 million. The company disclosed that currently, the farm has a target of putting 4, 600 hectares under cultivation with 3, 000 hectares already cultivated in both dry and wet seasons.
As a seed supply company, Olam Farm management also disclosed that the Federal Ministry of Agriculture and Rural Development GES-facilitated Faro 45 and Faro 52 rice varieties have strengthened its faith in the viability of rice farming and business in Nigeria. Olam Farm further disclosed that about 350 out-growers and other farmers who get the seeds from Olam have rededicated themselves to farming rice, having been encouraged from the higher yield per hectare of 5.5 to 7 metric tons and resulting in higher income.
The company also disclosed that the varieties have high amylase content of 24 to 27, which Nigerians like. Olam said, based on the quality tests conducted by the company on the rice produced from their farm, their product is of higher quality than most imported rice.
The farm manager, Mr. Regi George, said the farm has 950 Nigerian men and women in its workforce, apart from those employed by contractors working on the installation of the rice mill. The company, they said, is fully committed to the Federal Government’s local content and technology acquisition policies, as it sees itself as a Nigerian rather than foreign investor.
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