Rice Value Chain Development: Close To FCFA 10 Billion Additional Funding Available

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Rice Value Chain Development: Close To FCFA 10 Billion Additional Funding Available

The government of Cameroon and the Islamic Development Bank will sign a loan agreement to that effec

16 août 2023 00:01

T he President of the Republic, Paul Biya, on August 4, 2023 signed a decree authorizing the Minister of the Economy, Planning and Regional Development, to sign with the Islamic Development Bank (IsDB), a loan agreement for approximately FCFA 9.819 billion, to finance the Rice Value Chain Development in Cameroon. The additional funding comes after about FCFA 52 billion from the same source was approved during the 47th Annual Meeting of its Board of Governors that held from June 1 to 4, 2022 in Sharm El Sheikh (Egypt). The resources will be used to promote the local rice sub-sector via the Rice Value Chain Development Program. With this initiative, the government seeks to boost the local production of rice and significantly reduce its imports. The cereal is a staple in the country making its consumption very high. The national demand for rice thus supersedes production, causing the food product to be among the highly imported commodities in the country. The National Institute of Statistics say national production in 2022 stood at about 170,000 tons whereas local demand exceeds 400,000 tons. To satisfy demand therefore, rice is imported and by so doing increases the deficit on the balance of trade. According to the National Institute for Statistics (NIS), Cameroon imported 652,565 tons of rice in the first 10 months of 2022, spending FCFA 162.5 billion. Over the said period, rice accounted for 4.6 per cent of overall imports. In 2021, the country spent FCFA 207.9 billion on rice imports, representing 5.4 per cent of the overall value of its imports. Just recently, the government through the Minister of Trade in a concertation meeting with rice importers ordered for the importation of 150,000 tons of rice to cover the end-ofyear period. Though several initiatives have been put in place by the government and partners, rice production and...