BUA Foods Plc has notified its rice product distributors that it will keep the prices of its BUA Rice unchanged, aiming to support efforts in Nigeria to make rice more affordable.
The company released a statement stating that this decision is influenced by the strong sales potential stemming from its recently upgraded rice mill in Kano, which has a capacity of 200,000 tonnes per annum and utilizes locally sourced rice paddy.
BUA Foods emphasizes that the ability to maintain prices is attributed to the minimal reliance on foreign exchange for rice production.
Prior to the business integration of BUA Foods, which resulted in its listing in 2022, the Chairman of BUA Group, Abdul Samad Rabiu, had expressed the company’s intention to focus on sourcing raw materials locally across all its business sectors, including rice, to promote food security in Nigeria and support the country’s national development goals.
The announcement has generated enthusiasm among distributors, who anticipate that BUA Foods will follow its established pattern of lowering prices, as it has consistently done with other food products like flour, sugar, and pasta.
By prioritizing local agricultural resources, BUA Foods not only supports Nigerian farmers but also contributes to the country’s self-sufficiency in rice and sugar production through backward integration. This approach has earned BUA Foods recognition and appreciation from stakeholders within the industry.
BUA Foods’ dedication to bolstering the Nigerian agricultural sector has garnered praise and positioned the company as a leader in the pursuit of sustainable food production.
The upgraded rice mill and parboiling plant will further augment BUA Foods’ rice production capacity, enabling the company to meet the increasing demand for its high-quality rice products while maintaining a commitment to excellence and ensuring consumers’ access to locally produced, top-notch rice.
As the company continues to make significant strides in advancing the Nigerian rice industry, it remains focused on cultivating strong relationships with farmers, empowering local communities, and contributing to the overall development of the nation’s agricultural landscape.
