The management of Labana rice mills, is moving with plans to establish another modern world class 20 metric tonnes per hour capacity in Birnin Kebbi, which will translate to 175,200 metric tonnes per year.
Under the company’s expansion initiative by 2019, it will expand its rice mill capacity to 320,000 metric tonnes per annum to make it the largest rice mills in Africa.
The company is leveraging on its critical participation in the federal government rice intervention scheme being facilitated via the Anchor Borrowers Programme which was initiated to encourage the growth of local rice processing capacity aimed at promoting food security in the country.
The company in 2015 and 2016 dry season farming collaborated with Sterling bank and engaged about 4,000 farmers achieving about 80 per cent recovery, and had also in 2016 and 2017 dry season farming spent about N550,000,000 to independently engaged 2,500 Farmers under its Out Growers Programme.
Labana rice also maintains local sourcing of materials with the engagement of the USAID market and competitive African rice initiative CARI/GIZ train i and supporting 16,500 farmers under its Out Growers Programme in Kebbi state and neighboring Sokoto and Zamfara states in order to encourage large scale rice production to meet the raw materials requirements of rice mills.
As part of its local support efforts to supplement the supply of paddy rice by its growers, farmers and individual paddy merchants to meet the rice mill requirements, the company has established over 2,000 hectares of rice farm in Gante village, Bagudo local government area of Kebbi state and this is in addition to 20 hectares of of rice seed multiplication farm established within the premises of the rice mills.
The certified seeds are currently being produced from the farm and distributed to farmers. LEADERSHIP reports that as a result of its high quality rice production, the National Agency for Food and Drugs Administration and Control, NAFDAC as well as the Standards Organization of Nigeria, SON, have issued confirmation of production standard criteria as having met global production requirement.
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