Rice is one of the global and the most widely consumed staple food. There’s high demand for rice in the global market and its production is seen as a major important economic activity worldwide. This means there’s more room in rice cultivation for businessmen to tap into its global wealth. It was estimated that 756, 743, 722 metric tons were total world rice production for the year 2020. A source reveals that there’s global shortage of rice production which leads to high demand and high price for the product.
Rice production is a huge source of income to different countries and also a primary source of income and employment for millions of people around the world. There are several countries engaging in rice production yet there still more opportunities for farmers or business owners to participate in rice production global wealth. A source reveals that “Global rice trade is expected to experience long term growth with majority of the demand coming from China, The Middle East and Sub-Saharan African countries such as Nigeria, Cote d’Ivoire, Guinea, Mozambique and Kenya.” The same source also reveals that rice “Exports are projected to rise by 5 million metric tonnes from 49 million metric tons in 2018 to 54 million metric tonnes in 2023.”All these facts are pointers to show that there’re still more opportunities to invest and make huge money in rice production, those who know this fact are investing in rice industry.
For example, Alhaji Dangote the richest man in African and the CEO of Dangote Group invested 1 billion US dollar in rice production or plantation on 150,000 hectares of land with rice processing mill of 240,000 metric tons capacity per annum. Also, Olam company officially declared a sum of $111 million investment to introduce mechanized rice farming… Another area to make money in rice industry is to have or run value-added processing rice industry, a place where rice are milling for farmers. Rice milling, is an agro-based business that is profitable and sustainable. The capital needed to start is low and the technical know-how is not complex or difficult to understand.
The fact that there’s always a ready market for rice production makes the business highly thriving and profitable. Therefore, to invest in commercial rice farming business for domestic market and to export the surplus overseas to make surplus profit which enable the investors to tap into vast opportunities available in the commercial rice farming industry, I think it’s a good business for investors to consider.
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Image by Kanenori credited to pixabay.
