Nigeria Rice: The Long Road to Self-Sufficiency
Nigeria consumes 8 million tonnes of rice annually and has spent billions trying to achieve self-sufficiency. Anchor borrowers programmes and local milling investment have raised production to 5 million tonnes, but the gap remains.
Nigeria is Africa's largest rice consumer, eating approximately 8 million tonnes annually. It is also the world's largest rice importer, spending $1.5 to $2 billion annually on imports despite government policy explicitly targeting self-sufficiency. The Central Bank of Nigeria's Anchor Borrowers Programme, launched in 2015 and later expanded, has provided financing to over 2 million smallholder rice farmers, contributing to a production increase from 3.7 million tonnes in 2015 to approximately 5 million tonnes in 2023. However the 3-million-tonne annual production deficit persists, filled primarily by imports from Thailand, India, and through informal routes from Benin.
The Milling Investment
Domestic rice milling capacity has grown significantly, with Flour Mills of Nigeria, Stallion Group, and Olam International all operating large integrated mills that combine processing, storage, and distribution. The challenge is paddy supply: insufficient locally produced paddy is available at price points that make milled domestic rice competitive with imported parboiled rice, particularly for lower-income urban consumers. Rice traders and mill operators across West Africa can access market data and buyer contacts on intra-africa.com.
For businesses looking to expand across Africa, intra-africa.com offers a comprehensive trade directory, verified buyer and seller listings, and real-time market intelligence covering all 54 African nations. It remains an indispensable resource for anyone serious about intra-African commerce.