Rice Millers Say High Cost of Access is Blocking FG Mechanisation Programme

News in Brief:

—Nigeria's rice millers claim producers cannot access the Federal Government’s mechanisation programme because of high costs and weak financing options.

—The association urged the government to prioritise making tools more affordable and accessible as rising production costs are hurting agribusinesses.

The National Chairman of the Rice Millers Association of Nigeria (RMAN), Peter Dama, has drawn public attention to the inability of many farmers and rice millers to benefit from the Federal Government’s agricultural mechanisation programme because they lack the money required to access the equipment.

According to him, the challenge in mechanised farming in Nigeria was not the availability of machinery but the financial strength needed to purchase or hire it, especially as rising costs keep widening the adoption gap in the country.

Dama explained that the current economic situation, combined with the sharp increase in the price of tractors and other farm equipment, has kept many farmers away from the programme despite growing interest in mechanised agriculture.

Mounting Pressure on Rice Processors

The RMAN president noted that rice millers are feeling the strain of rising production costs, with larger operators facing the greatest pressure due to higher overhead costs. Smaller millers, on the other hand, are better able to navigate the current business climate as they run leaner operations and spend less on fixed costs.

According to Dama, energy costs like electricity, petrol and diesel are the biggest cost drivers affecting rice processors nationwide. He explained that these expenses often eat into margins and weaken the competitiveness of local mills.

He further added that many employers in the sector are also finding it difficult to meet the higher salary demand brought about by the new minimum wage. 

Financing Remains Central

Speaking about tractor access, Dama said financing remains the single biggest obstacle preventing many farmers from participating meaningfully in mechanised farming.

He stated that only financially strong farmers or large cooperatives operating within the same geographical area can realistically benefit from tractor financing arrangements. 

According to him, cooperatives often struggle when members are spread across different states because one tractor cannot practically serve everyone. He explained that associations with members spread across the country, for example, in Niger, Enugu, Cross River and Kaduna, would find it difficult to share one tractor under a joint purchase arrangement.

Call for Cheaper Tools

Dama urged the government to pay more attention to affordable technologies that can directly serve smallholder farmers rather than equipment that only large operators can realistically afford.

He recommended wider use of solar-powered irrigation pumps and compact tilling machines that consume less fuel and are easier to maintain, arguing that such tools would provide more immediate value to small farmers.

Dama also noted that smaller machines are becoming more common in the market, and manufacturers from China and Japan are producing equipment better suited to the realities of small-scale farming.

Nigeria’s Mechanised Farming Drive 

The RMAN President’s call adds to the conversation around the call for mechanised farming in Nigeria and how to practically achieve it. Efforts by the current administration have brought about the Renewed Hope National Agricultural Mechanisation Programme, launched in June 2025 to modernise farming and improve food production in Nigeria.

The programme introduced 2,000 tractors, 10 combine harvesters, 12 mobile workshops and more than 9,000 farm implements acquired through a partnership with Belarus. It targets supporting more than 550,000 farming households, cultivating over 500,000 hectares annually to strengthen national food production.

According to the Bank of Agriculture, which later took over its implementation, the scheme would run through service providers rather than direct ownership by farmers. And so far, reports showed that more than 100,000 expressions of interest were received before distribution began in February 2026, underscoring strong demand for mechanised services across the country.