News

Nigeria To Import 2.1 Million Metric Tons Of Rice, Become Top Buyer Globally

Published

3 weeks ago

November 15, 2023

Nigeria is projected to import 2.1 million metric tons of rice in 2024, which may make the country the top rice buyer globally.

This is according to the latest Rice Outlook report by the Economic Research Service of the U.S. Department of Agriculture (USDA).

The report notes that global rice trade will hit about 52.85 million tons (milled basis) by 2024, with more exports expected from Brazil and South Korea, and more imports expected from Burkina Faso, Indonesia, and Nigeria.

It read:

“Global rice trade in the calendar year 2024 is projected at 52.85 million tons (milled basis), up 345,000 tons from the previous forecast but 460,000 tons smaller than the year-earlier revised forecast of 53.3 million tons. Export forecasts for 2024 are raised for Brazil and South Korea, while import forecasts are raised for Burkina Faso, Indonesia, and Nigeria, with Indonesia’s import forecast raised 600,000 tons to 2.0 million tons.”

Weaker Crops in Nigeria
According to the report, weaker rice production is expected in Nigeria and seven other countries.

The report noted:

“Rice production is projected to continue to decline in Japan and South Korea due to diet diversification and declining and aging populations. Weaker crops are also projected in 2023/24 for Costa Rica, Ecuador, Mali, Nigeria, Turkey, and Uzbekistan.”

It added that global rice production in 2023/24 is projected at a record 517.8 million tons (milled basis), which is a decrease of 340,000 tons from last month’s forecast but 4.4 million tons larger than a year earlier.

Out of the projected rice production figure, Nigeria is expected to produce about 5.23 million tons.

Top rice importer

Data from the report also showed that Nigeria will likely be the leading importer of rice in 2024.

The country will be followed by Indonesia with an import projection of 2 million metric tons and Brazil with a projection of 900,000 metric tons.

It noted that the import forecast for Nigeria was raised by 100,000 metric tons from the earlier projection in October.

On the reason for the increase, the report noted: “Import forecast is raised based on stronger-than-expected demand for imported rice due to both high prices for domestic rice and quality concerns.”

More insight

The Central Bank of Nigeria (CBN) recently lifted the foreign exchange restrictions it placed on importers of rice and 42 other items eight years ago.

This will likely encourage the importation of more rice, among other items, into the country.

There have been mixed reactions following the removal of the restrictions, with some farmers recently showing support for the lifting of the foreign exchange ban on rice importation.

According to this group of farmers, the lifting of the forex ban breaks the monopoly of the processing and marketing of grain by local millers.

Prior to the bank, there appeared to be a decrease in rice import, with data from the Thai Rice Exporters Association (TREA), showing a decrease of 98.4% between the first seven months of 2022, and that of 2021.

However, there is also a likelihood that foreign rice is likely smuggled more than it is officially imported into the country.

About a week ago, the Nigeria Customs Service said it seized 13 trailer loads of foreign parboiled rice, among other items.

Headline

DSS To Start Using Weapons Produced By Personnel – Bichi

Published

6 hours ago

December 9, 2023

Ifunaya Emeka

The Department of State Services (DSS) said on Saturday it will soon unveil weapons produced by its personnel.

This was disclosed by the DSS Director General, Yusuf Bichi, at the graduation ceremony of the Executive Intelligence Management Course (EIMC) 16 participants in Abuja, the nation’s capital.

According to him, the DSS will soon begin to “produce what it eats and eat what it produces.”

Among the weapons the Secret Service will soon unveil are Unmanned Aeriel Vehicles (UAVs), he stated.

Bichi also assured that the agency will continue to support the National Institute for Security Studies to succeed in its quest to impart knowledge that will enhance security in the country.

He charged the participants to utilise the skills they have acquired to develop the country, urging Nigerians to remain patriotic and shun those whom he described as warmongers who want to set the country on fire.

Also at the event is the Vice President, Senator Kashim Shettima.

The Executive Intelligence Management Course (EIMC) 16 commenced in February 2023 with 89 participants drawn from 35 agencies across Nigeria and four other African countries, namely, Niger, The Gambia, Rwanda and Chad.

Three participants lost their lives during the period, leaving 86 participants who graduated on Saturday.

Headline

53 power projects worth ₦‎122bn to be completed by May 2024 – TCN

Published

2 days ago

December 8, 2023

Ifunaya Emeka

The Transmission Company of Nigeria (TCN), has said that 53 ongoing power projects worth N122 billion is to be completed by May 2024.

TCN and power distribution companies with support from the Central Bank of Nigeria (CBN) will finish up these projects that are currently being constructed across the country.

Punch reports that the projects entail the delivery of eight 150MVA power transformers, 19 1000MVA transformers, 60MVA transformers, reconductoring existing transmission lines (conductors and accessories), upgrading of the existing 132/33KV substations, and construction of 33KV line bays.

While visiting three different projects at Ojo, Isolo, and Oworonshoki Transmission stations in Lagos on December 6, Mathew Ajibade, Programme Coordinator at TCN, mentioned that once these projects are finished, they will increase the company’s ability to transport electricity by over 1,000 megawatts.

He said:

“The projects are currently being implemented through the project management office at the TCN headquarters in collaboration with both TCN field engineers and the Discos technical team. The time set for completion of the projects is May 2024 latest. PMO made progress with the implementation of the programme despite challenges encountered and is committed to ensuring the successful implementation.”

Tumba Tijani, who is the Assistant Director and oversees the Infrastructure Finance Office at the Central Bank of Nigeria (CBN), clarified that the central bank provided a loan for the project in August of last year. This loan was given at a 9% interest rate.

He mentioned that a total of N85.43 billion has been given out to 53 different contractors involved in the projects. This money has been disbursed into the Advance Payment Guarantee account to help these contractors carry out their tasks.

He said:

“The CBN in continuation of its intervention in the power sector approved the sum of N122, 289, 344 for the programme Nigeria Electricity Market Stabilization Facility-3 based on the projects estimated for the identified projects.

The facility aims to resolve the transmission/distribution interface bottlenecks to improve supply to end users and unlock the unutilized generation capacity in the country,”

Why transmission?
The Minister for Power, Adebayo Adelabu, mentioned before that even though the country has handed over the responsibility of generating and distributing power to private entities, the part that handles transmitting electricity is still managed by the government.

However, this area hasn’t seen enough progress mainly because the infrastructure, such as substations, transformers, and power lines, is getting old and isn’t strong enough.

Adelabu promised that the government would focus on reorganizing and improving this infrastructure. The aim is to ensure that all Nigerians experience better and more reliable electricity supply across the country.