Oluwarotimi Fashola Links High Diesel Costs, Flooding, and More to Impact on Local Rice Prices

In an exclusive interview with Infostride News on Thursday, Dr. Oluwarotimi Fashola, the Special Adviser to the Governor of Lagos State on Agriculture, shed light on critical factors contributing to the escalating costs in local rice production. Fashola underscored the significant impact of erratic rainfall patterns and the recent surge in diesel prices as primary catalysts driving the surge in production expenses.

Diving into the myriad challenges faced by the local rice production sector, Fashola highlighted a range of issues affecting farmers. These encompassed intermittent drought, escalating fertilizer costs, recurring flooding, heightened security concerns, diminished land cultivation, suboptimal irrigation systems, and the skyrocketing prices of diesel. The confluence of these challenges has created a compounding effect, exacerbating the overall cost of rice production in the region.

The adverse effects of these challenges on rice production were evident as Fashola noted a reduction in the land area dedicated to rice cultivation in 2023, resulting in a notable spike in the market price of rice. He drew attention to the stark contrast in pricing dynamics, stating, “From 2022 to early this year, Eko rice was sold at N33,000 per 50kg bag, but now, it is N43,000.” This pronounced increase underscores the economic strain faced by both producers and consumers in the local rice industry.

Highlighting the intricate relationship between diesel costs and production, Fashola expressed concern over the surge in diesel prices. He elaborated, “The cost of diesel has risen from N750 to between N1,300 and N1,500 in the north, and paddy production has considerably reduced.” This surge not only directly impacts the operational costs of rice farmers but also has a cascading effect on the entire rice production cycle.

Fashola went on to emphasize the broader implications of rising costs on overall production levels. He lamented the decline in paddy production, stating, “Before the insurgent came in 2018, we were already hitting 12 million tonnes of paddy, but now, we barely do eight million tonnes, and the number of mills has increased.” The insecurities brought about by factors such as insurgency, drought, and flooding have collectively contributed to a reduction in both cultivated land and overall production output.

The challenges faced by farmers extend beyond environmental factors to economic constraints. Fashola drew attention to the increasing cost of fertilizers, asserting, “Farmers cannot even afford fertilizer. Fertilizers that used to be between N10,000 and N15,000 are now about N40,000 per bag.” This surge in fertilizer costs further compounds the financial burden on local farmers, making it increasingly challenging for them to sustain or expand their operations.

In the context of local rice varieties, Fashola revealed that a significant number of Lagos State farmers are currently cultivating Ofada rice. However, he expressed optimism about steering farmers toward cultivating the type of rice produced in the state’s rice mill. This strategic shift could potentially address some of the challenges associated with local rice production, providing farmers with a viable alternative to mitigate the impact of rising costs.

As Lagos State grapples with these multifaceted challenges in the local rice production sector, the insights provided by Dr. Oluwarotimi Fashola shed light on the intricate web of factors influencing the cost dynamics and overall sustainability of this vital agricultural industry. The path forward requires a comprehensive approach that addresses both environmental and economic factors, ensuring the resilience and prosperity of local rice farmers in the face of a rapidly changing landscape. Infostride News will continue to monitor and report on developments in this critical sector.