…sign rice mill construction contract
A.R.N Foods, one of Nigeria’s commodities trading companies is transitioning into rice milling and production and has partnered AGI Miltec, a global company for all grain processing solutions to process quality rice in a bid to boost food security in Nigeria.
Nigeria is the largest producer of rice in Africa, producing about 8,435,000 tonnes annually, followed by Egypt, Madagascar, Tanzania and Mali according to the Food and Agriculture Organisation of the United Nations (FAO).
Speaking during the contract signing by both organisations recently at the George Hotel, Ikoyi, Lagos, Adelota Nola, the founder and CEO, ARN Foods said the partnership between both organisations would see A.R.N Foods leverage innovative solutions of AGI Milltec to process quality rice for the Nigerian market.
Nola said rice milling enhances backward integration from what A.R.N Foods is already doing, adding that while the current rice deficit is large, A.R.N is starting to drive the solution and opening up ideas for others interested in operating in the space.
“Deficit is very large. We can only start from somewhere. If we sleep and say the problems are so much and there is nothing we can do about it, then we will all just continue to sleep. But if we say we can do a little by taking the first step to solving the problem like we are doing today, then someone from somewhere can emulate what we are doing.
“If 100 people try to solve the problem, one day the problem will be solved. We have taken the first step to solving the rice deficit problem in Nigeria,” he said.
Nola hinted that when he started, he thought it was a project that could be solely funded by him with a sum of one to two million dollars but he realised that project would cost 10 million dollars or more.
He said banks and investors are interested in supporting him because of his track record.
“I have been to the East, West and everywhere in Nigeria, and I found that everyone consumes rice. It is in high demand. I am known for solving real life problems, from real estate to food amongst others. Everyone may not own a home, but I’m sure everyone eats something every day. Food is much more necessary than real estate. To the best of our ability, we are solving the food problems in Nigeria,” he explained.
Business Development Manager for AGI in Nigeria said the partnership between both organisations would be a seamless one since A.R.N Foods already has backward integration and so they are taking the logical next step into processing their own rice paddy.
He stressed that AGI Milltec has a strong financial and engineering background.
“The rice quality we see today is due to two reasons. One is the quality of paddy itself and the second comes from the way it is processed. There are still people over here that are using traditional methodology for processing and the quality of that will not be so good.
“We have 25 years’ experience in the rice milling sector. In Nigeria, we are not new. We know the quality of paddy and the requirements. We would like to bring the same quality into Nigeria. This one has been specifically designed for the Nigerian market and we already know the benchmark that Nola is looking for,” he said.
He assured that the plant will achieve the quality level that Nola is expecting.
Dele Mamodu, a popular journalist and publisher who also attended the event commended Nola for his quest and innovations to address the current rice deficit in Nigeria.
“Only a few people do great things in their early 30s. I know where I was at 30 and I know where Nola is in his 30s. He is incredible. He is a person to watch out for in Nigeria. He is not just a friend and brother but a business partner. He is going to join the food revolution in Nigeria.
“We must encourage people like Nola to do more. Today you can see how expensive food is, so we must encourage members of the private sector to participate fully. I salute all the banks and investors that have agreed to partner with him,” Mamodu added.
