The Nigerian Customs Service is reportedly struggling to contain the illegal flow, despite rice remaining Nigeria’s most smuggled commodity.
The price of a 50kg bag of rice in Nigeria has plummeted to as low as ₦58,000 in some regions, driven by a surge in rice imports through the Republic of Benin, according to a new report by S&P Global.
According to the report, the West African parboiled rice market has tumbled to near two-year lows, following India’s removal of export duties on parboiled rice.
This policy shift triggered a flood of cheaper rice into West African markets, significantly affecting prices across Nigeria.
Market sources cited by Platts, a division of S&P Global Commodity Insights, said warehouses in Benin are “filled to capacity” as Indian rice pours in.
