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Multibillion naira rice mill awaits completion after failed deadlines

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FATTEH HAMID, who visited the Lagos State multi-billion naira rice mill located in the Imota area of the state, writes that the project has yet to be completed despite promises

Imposing edifice housing modern equipment warmly welcomes our correspondent to the Lagos State Rice Mill project being constructed as part of the initiatives to ensure food security in the state.

The project, situated in a sub-urban community in Imota, Ikorodu area of the state, was described by the then governor of the state, Akinwunmi Ambode, as the largest rice mill in Nigeria. The project commenced in 2017.

Occupying 13 hectares of land, the multi-billion project is expected to produce 32 metric tons of grains per hour and a gross capacity to produce 2.8 million 50kg bags of rice annually. It is also equipped with 16 silos of 2,500 metric tons which have a combined capacity of 40,000 metric tons. The mill is also expected to create 1,500 direct jobs and 254,000 indirect jobs.

A trader and resident of Imota, Salami Dawodu, who spoke to Sunday PUNCH in Yoruba, said that the government had brought good fortunes to the community by siting such a grand project there.

She stated, “We can all see that this project is a big one which has been thoroughly funded by the state government and upon completion, will provide employment opportunities for youths of this community and by extension, hundreds of thousands of people across Nigeria.”

She noted that upon provision of employment, the rate of youth involvement in nefarious and illegal activities would reduce considerably. She explained, “This project is a poverty alleviation scheme as well for many persons in Lagos and also double as a business for the state.”

She appreciated the government of Lagos and especially, former governor Ambode for deeming Imota fit to be the host community for the project.

She said, “Apart from the fact that many persons will troop into the community upon completion of the rice mill, various businesses will also move to this part of the state which will facilitate economic growth for Imota, and every indigene of this community is in high expectation of the project.”

She appealed to the government to swiftly complete the project. She said, “We don’t want a project that will be inaugurated and won’t commence work. We want a project that will start immediately.”

She noted that citizens relied on the government and constantly communicated their worries to them, noting that it was left to the government to ensure that it reciprocated by giving the people a better life.

Dawodu said, “When this project is completed, I’m sure that it is not going to be meant for Lagos State or Nigeria alone, other states will benefit and other countries as well.” She urged the state to urgently ensure the completion of the project without further delay.

Expansive venture

Rice is a staple food in Nigeria. The Rice Farmers Association of Nigeria in 2019 noted that households in the country consume N1.2bn worth of rice daily.

In a statistics by Thrive Agric, rice apart from being an important food security crop, is also an essential cash crop for it is mainly small-scale producers who commonly sell 80 per cent of total production and consume only 20 per cent. Rice generates more income for Nigerian farmers than any other cash crop in the country.

Despite being the country’s biggest staple, there have been challenges in producing enough rice in the country to cater for the needs of the citizens which have led to the importation of rice. However, government in a bid to control rice importation supported local rice farmers through the Central Bank of Nigeria’s Anchor Borrowers’ Programme and effected a ban on rice importation in the country.

The ban, which commenced in 2015 had rice among 41 items banned from importation into the country. It also cut across all land borders and the government kept 70 per cent tariffs on imports coming through ports.

In a report by BBC, despite the official claim that Nigeria does not import rice, a US government report estimated that imports recorded about two million metric tonnes in recent years.

To improve local rice consumption, the CBN governor, Godwin Emefiele, in January disclosed that rice production in the country rose to nine million metric tonnes in 2021 from about 5.4m metric tonnes in 2015.

Besides, to ascertain food security, the Lagos State Government inaugurated the Food Security Systems and Central Logistics Park in sub-Saharan Africa.

The food park is part of the state’s five-year Agricultural and Food Systems Road Map (2021–2025) launched last year by the government to enhance food security in the state.

Upon completion, the hub is expected to create direct wealth for more than five million traders in the agricultural value chain, and guarantee a supply of food to more than 10 million Lagosians for at least 90 days during scarcity.

The state broadened rice production in the country by not only embarking on rice mill project but also increasing availability of rice in the country to reduce the increase in food prices.

On completion, in line with the estimated installed infrastructure of the facility, the production capacity of the mill will set it among the largest in the world, and the largest in sub-Saharan Africa. It operates in two lines that receive pre-clean, boil, dry, sort, hull, polish and bag the rice.

Apart from milled rice, the mill will also hull other cereals such as oats, barleys, and millets.

The wait continues

Another resident and trader, Christy Ndidi, noted that the project had been long overdue for completion.

She said, “We do not have good roads that link Imota despite the huge government project ongoing here. I’m sure that you also experienced it on your way to the place. The road that should normally take 30 minutes, one can use two to three hours navigating it. It’s that terrible.

“The Gberigbe road is closed and no road in Imota as well. For the long vehicles and trucks bringing loads here, it is always not easy to navigate the road. If the road is worked on, it will also facilitate faster completion of the project and when it is finally completed, people from far and wide will be able to easily access the vicinity.”

She added that the residents were awaiting the completion of the project, stating “When the governor came the first time, he promised that the project would be opened fully for work by the first quarter of 2022 which did not happen. This is the third quarter of the year with a month left yet no news.

“We have heard rumours that they said the mill has been opened but here we are every day, we know it’s totally not near completion.”

She stated that the community was in high expectations due to the number of jobs expected to be generated, especially for indigent members of the community. She said, “For the old and young, there will be job opportunities. The educated ones can take offices while those who could not complete their education will find succour in factory jobs which will reduce crimes in the community.”

She noted that the major things that should be taken care of by the government was the road rehabilitation and completion of the project. She said, “We pray God to grant the government the strength and will power to complete the project as soon as possible as it will duly improve our way of living in Imota.”

Another resident, Olakiitan Oluranti, who spoke to Sunday PUNCH in Ijebu, expressed gratitude to Ambode for bringing the groundbreaking project to Imota.

He said, “Ambode has done his part, Sanwo-Olu should please see the completion of the project. We are locals here; our forefathers established this land and to see this come to reality is a big one for us. This is my 57 years on this land and this is by far the biggest happening I have witnessed here.”

Oluranti stated that Imota would no longer be a village as foreigners would troop in for economic activities with their grandchildren and generations benefitting from the project.

He said, “What the government has done for us here is really big and we cannot really appreciate them enough. However, they should also please make sure that is completed early enough. We don’t want an abandoned project; we want it worked on soon enough so that our expectations of a bigger Imota will occur before our eyes.”

Oluranti expressed confidence that the project would not only benefit Imota but the state and the country as a whole.

Another resident of the community, Ayo Ogunsanya, in excitement, commended the state government for the project it brought to the community.

He said, “The project even before completion has provided our wives with working opportunities as well as our sons who have been able to start getting tokens from working on the ongoing mill. Imagine the number of persons that will benefit from the project when completed.’’

Ogunsanya believed that the project would also provide menial jobs to the uneducated members of the community.

Reacting to the development, the Ranodu of Imota, Oba Ajibade Bakare-Agoro, thanked the state government for siting the mill in Imota, stating that it would benefit the entire country when completed.

He said, “The immense contribution this will bring to Imota development will be great and we are really looking forward to it. I’m glad that this is happening with me on the throne of my forebears.”

The monarch said he was confident that the government would complete the project before the end of the year.

The failed promises

In May 2018, Ambode said the mill would be completed in the first quarter of 2019.

The promise which was made during a tour of the state projects in Ikorodu, Imota and Agbowa was not fulfilled as the governor’s re-election bid failed.

Lagos State Ministry of Agriculture

Similarly, the government noted that the mill would start production by February 2019.

The circle of failed promises continued even after Ambode left office after a term and was replaced by Babajide Sanwo-Olu.

In June 2020, a year after assuming office, the Sanwo-Olu-led government said desired to see to the completion of the project, it has partnered with other states such as Kwara, Sokoto, Benue, Borno and Kebbi to leverage the ABS with the rice mill as the off-taker of the products. The government noted at the time that the project was 80 per cent completed.

 The year 2020 saw the then Commissioner for Agriculture, Gbolahan Lawal vacate the office due to his enthronement as the Oniru of Oniruland. This was followed by the appointment of Ms Abisola Olusanya to occupy the vacant position in November 2020.

On May 29, 2022, Olusanya assured that the mill would be ready in 10 weeks. She noted, “We are commissioning by June/July or the end of July. Within the next 10 weeks, that place will be ready for commissioning.” However, a visit to the rice mill by our correspondent on Tuesday and Thursday showed a different result.

With almost two hours trip from Ikorodu to Imota, our correspondent battled narrow, terrible road. However, the community parades well-tarred roads.

It was observed that work had yet been completed with what was sighted in the expansive mill.

The mill has site kiosks used as temporary offices and workers were seen trooping out of the site. Workers seen at the location refused to talk with our correspondent who had a fuller view of ongoing work at the site.

However, two of the workers who spoke on condition of anonymity because they were not allowed to speak with the press said work at the site had not neared completion.

One of the workers stated laughing, “Did you just say the government promised 10 weeks? I work here and I can assure you that this project is not going to be completed in months. There is still a lot to be done.’’

The other worker, however, stated that the project completion could be sometime soon if things were hastened up. He said, “We work here every day and we know what is inside. In its earliest completion, we should have the project fully delivered by November or December to commence full production. However, if things continue to be the way it is, maybe in January or February 2023, it will be completed.

Our correspondent noticed a billboard disclosing that three firms were handling the project. Efforts to reach out to the firms were not successful as the mobiles provided on theie sites were not reachable.

Stakeholders’ comments

In his view on the matter, Chairman, All Farmers Association of Nigeria, Lagos State chapter, Dr Femi Oke, told Sunday PUNCH noted that the government did a great job by embarking on the project.

He said, “As I state always, an average home today eats rice daily unlike our time when only took rice on special occasions while growing up. Kebbi and Nasarawa states are doing a lot in terms of rice production.

 “When the former government was there, we heard there was Lake Rice; a partnership between Lagos and Kebbi states. Many things were done at the time. But now, quite surprisingly, we could not find the product in the market. We can only encourage the government to see to the completion of this mill early enough.’’

Oke noted that recently stakeholders in other sectors of the economy were moving into rice farming, adding that it was a great development for the country.

He stated, “We still encourage other investors to also join the sector. If rice farming is heavily invested in, there will be major results and we will begin to export it like other major exporters of rice in the world like Thailand. With our population of over 250 million now, the country needs to invest heavily in rice. When this is done, we will attain food sufficiency and it will also enhance poverty alleviation.”

On his part, a lecturer at the Department of Agriculture Extension and Rural Development, Faculty of Agriculture & Forestry, University of Ibadan, Ibadan, Oyo State, Dr Taofeeq Yekinni, described the project as a worthy one.

He said, “Rice today has moved from being a ceremonial food to a daily staple and to attain food sufficiency in the country, this is a great move by the Lagos State Government. If you look at the bill that the government brandish every year for rice from other countries, it is huge.

“Because of that, we are putting a lot of burden on our naira. If we could take this to local production, it will be a great relief and it will also free our economy for a more essential thing since we can produce it then we eat from what we produce.”

Yekinni stated that if the country attained a level of rice production, the country would be better economically and in turn strengthen the naira.

He said, “Apart from the economic benefits, the main benefit that I see is food security. Let me call your attention to the time of COVD-19. During the period when countries were not exporting anything for about 18 months, if the government has not attained food sufficient or food security in terms of rice production, we would have seen where that could have landed us. Throughout that period, we entirely focused on locally produced rice and this was because steps have been taken earlier.

“When other countries were hit heavily by food scarcity and insufficiency, we were not. If that was not the case, we would have known what hit us as a country. This Lagos State rice mill is expected to be the largest in sub-Saharan Africa and it is a big one for us as a country.”

 “Soon, with all the investments by the state government, what it will amount to is that Nigeria will reach a level of food sufficiency that we will start exporting rice. With food sufficiency, we would have economic development.’’

Yekinni expressed joy noted that the attention was on developments in the country’s agricultural sector which he said would keep the government on its toes and ensure proper attention for investors to invest in the sector of the country’s economy.

He added, “At the end of this, the result will be that we will be eating fresh products compared to rice that would have been locked up somewhere for years and pushed out by unscrupulous marketers. Health component is also another big vacuum the project will fill. I advise the government to prioritise this. I understand that many projects are on their desk that needs to be prioritised.

“However, due to how important this is, it should be given maximum attention. Lagos State has the population to patronise it and the state can be assured to get back its funds in no time. The success of the project will also encourage other state governments to go into rice production and it will be an overall success for all.’’

Govt reacts

Contacted, the state Commissioner for Agriculture, Ms Abisola Olusanya refused to comment on the issue after several attempts to reach her on the phone. She later referred our correspondent to the Special Adviser on Rice Mill, Dr Oluwarotimi Fashola, for comments on the issue.

Fashola in his comment stated that the state governor had given a timeline that the project would be in full operation before the end of the year.

He noted that this was stated at the recent inauguration of the state logistics hub.

He said, “I can say authoritatively that the mill will be commissioned before the end of the year. For a project of that magnitude, both local and international resources are going into it. It entails things moving into the country and other locally made stuff that needs to be used.’’

Fashola noted that credit should be given to the state for taking up such a project. He stated, “It wasn’t this administration that started the project but it is ensuring that it is completed. Rather than criticise and keep the government on its toes as to the time frame given, people should be glad that the administration did not abandon it and is making every effort to see its completion.”

On the poor state of road leading to the location, he stated that the road was a federal road, adding that discussions were ongoing with the Federal Government to find a solution to the road.

He stated, “There are other routes that can be taken to Imota, the Gberigbe road that you mentioned which is close is a state road and is currently receiving attention while we can link Imota from Epe and Ijebu-Ode roads as well.”

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