BUA Chairman Rabiu: We’ll Keep Rice Affordable

The Chairman of BUA Group, Abdul Samad Isyaku Rabiu, has promised to keep rice and other staple foods affordable for Nigerians, building on recent price reductions.

Rabiu praised President Bola Tinubu’s decision to waive customs duties on imported food items, calling it a “visionary” move that helped bring down soaring food prices across the country.

In July 2024, the government suspended import duties on food products to fight rising inflation and ease the cost burden on consumers.

After a recent meeting with President Tinubu, Rabiu told reporters that BUA Foods fully embraced this policy, importing large quantities of wheat, maize, and rice to increase supply.

“Last year, rice prices were extremely high — around N100,000 for a 50-kilo bag. Flour was about N80,000, maize N60,000, and pasta over N20,000 per carton,” Rabiu said. “Since we began importing under this waiver, prices have dropped significantly. Today, rice costs about N60,000, flour N55,000, and maize N30,000 per 50-kilo bag.”

Rabiu explained that price hikes are often driven by middlemen who buy and hold rice paddy (the raw form of rice) after harvest, creating artificial scarcity that drives up prices.

“The farmer still gets the usual price, but those holding paddy stock wait for months after the harvest before selling, pushing prices up to N800,000 per ton and rice prices to N110,000 per bag,” he said.

The recent imports helped flood the market with rice, making it difficult for hoarders to profit. Many who were holding onto stock are now facing losses, according to Rabiu.

He added that the Rice Millers Association is working to discourage hoarding practices among its members.

“With enough imported rice available through BUA, anyone trying to hoard will find it difficult to keep prices high because we are ready to bring prices down,” Rabiu explained.

He expressed confidence that rice prices will remain stable going forward, especially as new harvests arrive.

“I’m hopeful that farmers will continue to receive fair prices, while consumers enjoy affordable rice,” Rabiu said.

Finally, Rabiu thanked President Tinubu for the import duty waiver policy, which he admitted he initially doubted but now recognizes as effective.

“Prices have come down, but not many people are noticing or saying so. I’m happy to say that food prices are dropping, and BUA Foods will keep supporting government efforts to ensure they stay affordable for all Nigerians,” he added.

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