We’ll keep crashing rice prices, BUA Chairman Warns Hoarders

Abdul Samad Rabiu, Chairman of BUA Group, has issued a strong warning to food hoarders, predicting further declines in the prices of rice and other essential food items in Nigeria. 

Speaking to State House Correspondents after a meeting with President Bola Tinubu on Thursday, Rabiu credited the recent drop in food prices to BUA Foods’ strategic use of the federal government’s food import waivers. He praised President Tinubu’s policy, which allowed the company to import significant quantities of wheat, maize, and rice, helping to stabilize the market. 

“Last year, food prices were extremely high—rice sold for about ₦100,000 per 50kg bag, flour at ₦80,000, maize at ₦60,000, and pasta above ₦20,000 per carton,” Rabiu recalled. “By leveraging the waiver policy, BUA imported large volumes of these commodities, which helped drive down costs.” 

He also exposed the tactics of local rice processors who hoard rice paddy (unprocessed rice) during harvest seasons, creating artificial scarcity and price surges months later.

“Many Nigerian companies buy up paddy in bulk, hold it for three to four months, and then double prices when supplies run low. This has been a major issue,” he explained. 

Rabiu warned that hoarders would no longer profit from such practices, as the influx of imported rice has disrupted their schemes.

“Our intervention forced hoarders to release their stocks at lower prices, and many are now facing losses,” he said. 

He further revealed that the Rice Millers Association is taking steps to curb hoarding among its members, ensuring market stability.

Rabiu emphasized that President Tinubu’s waiver policy remains crucial in safeguarding Nigerians from food price manipulation. 

“With continued government support and responsible industry practices, we expect food prices to keep falling,” he said.