Lake Rice: LASG Spent N1.04bn on Rice Subsidy

Lagos State Government said it has subsidized LAKE Rice to the tune of N1,049,140,395.00 from December 2016 till date as part of efforts aimed at sustaining food sufficiency and food security in the State.

 

Commissioner for Agriculture, Mr. Oluwatoyin Suarau who disclosed this today while giving the scorecard of the Ministry of Agriculture in the last one year at the Bagauda Kaltho Press Centre, Alausa, Ikeja noted that LAKE Rice which is being sold at a highly subsidized rate of N12, 000 per bag of 50kg, has helped crashed the skyrocketing price of rice in the country.

 

He said, “the State Government has subsidized LAKE Rice under this review period with One Billion, Forty-Nine Million, One hundred and Forty Thousand, Three Hundred and Ninety-Five Naira (N1, 049, 140, 395.00) This is targeted towards ensuring food sustainability and food security in the state and as an end result, making Lake rice a  national brand”.

 

Suarau explained that the subsidy includes the cost of transportation, bagging and difference in the cost price of the rice from other brands. He added that a total of 150 marketers and other ancillary service providers have been empowered through the sales of LAKE Rice.

 

The Commissioner while restating the commitment of the Governor Akinwunmi Ambode led administration to boost the production of rice disclosed that the State government has completed an agreement to acquire and establish a 32 tonnes per hour rice mill with AG (“Bühler”), a leading rice-mill producer in the world stressing that the establishment of the rice mill is targeted at enhancing food security and creating employment in the State.

 

“It is estimated that the partnership would facilitate the creation of  274,000 jobs across the agriculture value chain, and will also bring about the cultivation of 32,000 hectares of farmland to produce rice paddy, equating to an estimated 130million Kg of processed rice per year which is an equivalent of 2.6milion 50kg bags of rice”, he said.

 

The Commissioner noted that the establishment of the state-of-the-art rice mill will serve as a platform for Lagos to partner with the other South-West States aside from the existing collaboration with Kebbi State.

 

He added that this is in consonance with the region’s resolve towards achieving economic integration, ensure that adequate rice is supplied to the 32 metric tonnes per hour rice mill and make provision for empowerment programmes for farmers across all the value chains of Agriculture.

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