Imports Have Crashed Food Prices, Hoarders Now Counting Losses, Says BUA Chairman

Chairman of BUA Group, Abdul Samad Rabiu, has said the timely intervention by President Bola Tinubu through tariff waivers on key food imports has led to a significant drop in food prices across the country.

Speaking to journalists after meeting with the President at the State House in Abuja on Thursday, Rabiu noted that the waivers, granted last year, allowed major food processors like BUA to import brown rice, maize, wheat, and sorghum at a time when prices were at record highs.

“At the time, rice was over N100,000 per 50kg bag, flour was around N80,000, and maize N60,000,” Rabiu recalled. “But with the President’s foresight and duty waivers, we were able to import large volumes, process them quickly, and crash prices.”

According to him, rice now sells for about N60,000 per bag, flour at N55,000, and maize at N30,000 — a significant reduction attributed to increased market supply and disruption of hoarding practices by middlemen.

He explained that prior to the intervention, traders would often buy and hoard rice paddy after harvest, selling at inflated prices once the season ended. “That strategy failed because we brought in imports and sold quickly, forcing prices down. Many hoarders are now counting losses,” he added.

Rabiu, who also serves as a key member of the Rice Millers Association, said millers have now agreed not to engage in hoarding practices, noting that BUA has enough imported rice to last through the end of the year.

On the rising price of cement, the BUA boss blamed it on the Naira devaluation, saying most production inputs — including gas, spares, and foreign experts — were dollar-denominated.

“Even at N9,000 per bag, cement is about $110–$120 per tonne, which is not out of line with regional prices,” he stated. “Gas costs alone at one of our plants have tripled from N5bn to N15bn monthly.”

However, Rabiu disclosed that BUA and Dangote Cement have jointly agreed to freeze cement prices for all government projects under President Tinubu’s Renewed Hope Agenda.

“This was an initiative proposed by Alhaji Aliko Dangote and I concurred. There will be no price hike for those projects. A letter will be sent to the Ministry of Works next week,” he confirmed.

He also commended Minister of Works, David Umahi, for championing the adoption of concrete roads, saying they are more durable and cost-effective.

In further support of national development, Rabiu announced the reconstitution of the Cement Manufacturers Association of Nigeria (CEMAN), with BUA Cement MD, Engineer Yusuf Binji, named as the new chairman to drive industry coordination and pricing reforms.

In addition, Rabiu revealed that the Cement Technology Institute of Nigeria (CTIN) will now receive N15–N20 billion annually — contributed through a N20–N30 per bag levy — to train artisans in the construction industry.

“Since we no longer import cement, the old cement levy no longer exists. So we are self-funding CTIN to develop local skills. Dangote remains chairman, and we’ve brought in Alhaji Dahiru Mangal of Mangal Cement as a new member,” he explained.

He said President Tinubu was “very pleased” with the sector’s support and urged manufacturers to continue contributing to national stability and economic recovery.