Benue rice farmers and Olam Nigeria Limited have signed a Memorandum of Understanding (MoU) to boost rice production in Nigeria.
Addressing farmers in Agasha rice cluster at the ceremony, Vice President, Olam Nigeria Limited, Mr Regi George said his company will be transparent in dealing with them just as he assured them of purchasing all rice paddy produced by the farmers.
“The Farmers will be provided with training, necessary inputs with guaranteed buy back at prevailing market price at the end of the season. This no doubt will improve yield, production and income for the farmers,” he said.
“Olam is happy for being the preferred off-taker by the farmers. We have the capacity and experience in out-grower schemes. We are willing to extend 25% credit to the farmers to support their counterpart contribution to be able to access IFAD matching grant to farmers,” he added.
Chairman of Hemtel Multipurpose Cooperative, Mr Bidi Teizungwae expressed the readiness to work with Olam and thanked the IFAD funded VCDP for linking them to Olam. Hemtel Multipurpose Cooperative is one of the beneficiary groups.
The partnership will avail the two parties the opportunity to work together in a collaborative manner that will improve yield, production and income for the farmers. As Olam is engaged in rice processing, the partnership will enable it have steady access to rice paddy for its rice mills.
The programme aims to reach more than 7,500 farmer households in five local government areas of the state, which include Guma, Gwer, Okpokwu, Logo and Ogbadigbo. The International Fund facilitated the alliance building and partnership between Olam and the Benue farmers for Agricultural Development (IFAD) funded Value Chain Development Programme (VCDP).
The VCDP is a Federal Government of Nigeria and IFAD initiative that focuses on improving incomes and food security of poor rural households engaged in production, processing and marketing of rice and cassava in six states: Benue, Anambra, Ebonyi, Niger, Ogun and Taraba, while also addressing the constraints along the value chains.

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