The Lagos State Government has signed a Memorandum of Understanding (MoU) with the Chinese food processing company Yihai Kerry Arawana Holdings Co. Limited to increase productivity in the rice value chain and enhance food security in the state.
Governor Babajide Sanwo-Olu, who is currently in China with some state government officials for the ongoing Forum on China-Africa Cooperation (FOCAC), witnessed the signing of the MoU, which took place on Wednesday.
The Special Adviser (SA) to Governor Sanwo-Olu on Agriculture (Rice Mill Initiative), Dr. Oluwarotimi Fashola, signed the MoU on behalf of the Lagos State Government, while Mr. Wang Wei, Group Director of the Rice Industry Division at Yihai Kerry Arawana Holdings Co. Limited, signed on behalf of the Chinese company.
The signing of the MoU was also witnessed by Mr. Prashant Trikha, Group Head of Rice at Wilmar Group.
The MoU and the collaboration between the Lagos State Government and the Chinese company aim to enhance rice production and agricultural productivity in Lagos State, in line with the Babajide Sanwo-Olu administration’s quest for food security and agricultural revolution.
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Speaking at the ceremony, Dr. Fashola noted that the state had the capacity to feed its citizens if the right investment was made in agriculture. He emphasized that this was why Governor Sanwo-Olu’s administration had prioritized agricultural value chains.
He also highlighted that the rice initiative at Imota Rice Mill is projected to provide 1,500 direct jobs and over 250,000 indirect jobs, adding that the rice mill alone has the capacity to produce 2.8 million 50-kg bags of rice annually.
“We realize that we have the capacity to feed ourselves if we invest properly in agriculture. That is why our administration has prioritized agricultural value chains. Our rice initiative, with the Imota Rice Mill, is projected to provide 1,500 direct jobs and over 250,000 indirect jobs. The rice mill alone has the capacity to produce 2.8 million 50-kg bags of rice annually,” he said.
He maintained that the state government is committed to enhancing agricultural productivity, noting that it has been actively engaged in promoting rice cultivation to meet the high demand for rice in Lagos State. This underscores the need for the establishment of a 32-metric-tonne-per-hour capacity rice mill in the Imota area of the state.
Yihai Kerry Arawana Holdings Co. Limited is one of the largest food processing companies in the People’s Republic of China, operating an integrated rice business that covers the entire value chain, from cultivation to processing and distribution of milled rice.
