Border closure stamps foreign rice in the market.|Fashina Shakiru
At the inception of the second term in office, Muhammadu Buhari's administration, gave a clear directive to the Comptroller general of customs, Col Ahmed Ali to close the land borders as a results of insecurity smuggling, illegal importation of weapon and ammunitions, shortage inland revenue particularly to boost food security and encourage local farmers in the production of made in Nigerian Rice.
This decision sparked a lots of reactions and debates from domestic and international investors, business consultants, economists and analysts on the effects of partial border closure. Some are of the views that is a sign of strong political will to change country's borders, to curb smuggling, cross border crimes and grow nation's local economy policy while some argue that there is no way, this will not have partial effects on regional and international investors among the West African States.
Since, one of the most affected neighboring countries, such as: Benin Republic , Ghana, Niger and Cameroon are domestically feeling the economic effects of the borders closure by the Nigerian government.
The diplomatic and deliberate efforts have been taken by the affected nations for Nigerian government in reconsider her decision to reopen the land borders in adherence to African Continental Free Trade Agreement (AFCFTA).
The local farmers and domestic investors see this as an avenue to have a free market competition with foreign rice as a result of border closure and economy policy for Nigerian government to encourage local production, support the local farmers with sufficient grain set aside, loans for farmers at low rate, training for farmers, modern mechanism and standard machines to have significant percentage of rice production that can compete with the foreign rice and for the final consumers of over 190 millions population in Nigeria.
Consequently, some state governments have also increased their production of local rice to support local farmers . Lake Rice in kebbi and Lagos states, Al-Hamsad Rice in kano state, Umza Classic Rice in Enugu just to mention a few .
Flycomnews correspondence visited one of the markets in Lagos state Sabo market Ikorodu. Findings showed there are many brands of locally made rice production in the markets compare to foreign rice , before the borders closure by the Nigerian government. When the Flycomnews went around the market place , we realised that there are many of local Nigerian rice displayed in all the shops, warehouses and depots which are not less than over 25 brands locally made rice production in Nigeria available and sufficient in the markets.
The price of foreign rice skyrocketed from #25, 000:00 to #40, 000:00 compare to Nigerian Rice which is sold #20, 000:00. This shows from the availability of local rice production in the markets as a result of border closure. Before the borders closure , 50Kg of foreign rice was sold for #16, 000:00 but now sold between #25, 000:00 to 27, 000 while the 50Kg of local rice was sold #13, 000:00 to #15, 000:00, is now sold between the range of #16, 000:00 to #21, 000:00 depending on the brands of local rice needed.
Mr Sola John one of the leading markers of local rice said “borders closure is a blessing to the county. As this is one of the best policies which has affected the local production of rice. The ban on foreign rice led to massive production of Nigerian Rice and we have varieties of local rice here in this Sabo market Ikorodu particularly at this depot such as Royal Nigerian, Silver Chariot, Al-Hamsad, Tiaminu Rice and so on. These are quality local Nigerian rice that are comparable to foreign rice, especially the quality of Tiaminu and Al-Hamasd rice compete with any foreign rice in the world.
In the course of struggling to buy from the manufacturers, they inflate the price and we (retailers want to sell with Profit). Though, the production cost may not be measurable with the selling price, yet we have the hope that we will continue to produce more as prices continue to drop even before next year April.
The fear that local rice not well processed as foreign rice is now gradually enrolled in the society because of improvement day by day. I have been to most of the rice factories where the local rice are being produced because the manufacturers allow the wholesalers and retailers to see the quality of machines used in the process of local rice in Nigeria, like Lake rice in kebbi state, Al-Hmsad rice in Kano state and many other factories in Nigeria.
Mrs Doyin Alake retailer of local rice seller said, “when she bought Tiaminu local Rice in the last two months, the rice tastes like other foreign rice. She said local rice now surplus in the market.
Miss Grace Oyeniyi who sells both local and foreign rice said that the differences between the local rice and foreign rice is clear. virtually, the taste of the local rice differs from foreign rice because foreign rice is tastier and good than local rice. Yes, Nigerians have embraced the Nigerian local rice ,though some are still costly. For instance, most of the foreign rice imported through Cotonou before the closure was #12,000:00 per 50kg while Nigerian Rice ranged between #17, 500:00 to #21,000:00. The government should work on price control of local rice in Nigeria at the same time, since some manufacturers are still mixing local rice with foreign rice product together.
According to Mr Kingsley Agbo, he opined that the decision by the federal government is a good one. Closure will increase the growth of local rice production in Nigeria. If Nigeria can produce enough of local rice that will be available for the country, I don't see any reason going out of the country getting those imported rice that can be produced locally here. He emphasized that local rice is sweeter and better than imported rice while complaint from the customers is the stone issue ad with time that will be managed, he added.
According to the survey, several marketers and buyers opted to buy the local rice since its available and sufficient in the market today. Beyond the borders closure, it has positive effects on production of local rice in Nigeria as well as reduction smuggling of ammunition and above all it generating expected revenue for federal government and it has created opportunities for farmers in Nigeria.
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