Rice growers call for increased prices

EASTERN PROVINCE RWAMAGANA — Rice growers in Rwamagana under their cooperative known by its French acronyms of COCUR/RWA have asked the government to increase on the prices of their produce.

Wednesday, February 06, 2008

EASTERN PROVINCE

RWAMAGANA — Rice growers in Rwamagana under their cooperative

known by its French acronyms of COCUR/RWA have asked the government to increase on the prices of their produce.

Presenting their plea to the minister of Agriculture

Anasthase Murekezi, on Tuesday, the farmers said they incur high costs of production compared to the prices.

They suggested that the prices be increased from Frw150 to at least Frw200.

Murekezi accompanied by her junior minister Daphrose Gahakwa, were holding a consultative meeting with the farmers. Officials of Rwanda Agricultural Development Authority [RADA] and those of Rwanda Investment and Export Promotion Agency also attended the meeting.

Earlier, the group together with local leaders inspected a rice factory and rice fields.

"Rice in Rwamagana is grown in Bugugu, Gashara,

Cyaruhogo and Cyimpima swamps. In all these sites farmers

incur higher costs of production but we are being

offered only Frw150 for each kilogram of raw rice. We

request that the price be increased to at least Fw200,"

a representative of rice growers, Joseph Sematama said. However, Des Whelan, the representative of Australia’s private agribusiness in Rwanda [ICM], the company that oversees the

growing of rice in Rwamagana, said that the price offered to farmers was reasonable.

He noted that the yields from last season were poor but attributed it to the rice brand [watt].

He said ICM has a lot of experience in growing of rice; an experience he said will benefit Rwandans in near future. He talked of

introduction of new rice seeds, rice padding machines and other equipments which would lead to high quality production of rice in the country.

After a consultative meeting, it was agreed by both sides that a kilogram of raw rice be increased from Frw150 to Frw160 pending further negotiations.

Minister Murekezi urged both sides to exercise transparency to avoid any exploitation tendencies on either side.

"Indeed we came here to listen to your pleas. I advise

you to be transparent to avoid any exploitation

tendencies," Murekezi said, stressing that his ministry would not tolerate any exploitation tendency.

He warned that the ministry would intervene in case any party violated the terms stated in their contract.

Concerning the low yields, Murekezi advised

both sides to think of growing Kigoli brand which he said is

suitable to the Rwandan climate; as they carried out further research on other brands suitable for Rwanda’s soil.

Rwamagana rice factory was owned by the state under

the supervision of the ministry of agriculture before it was destroyed during the 1994 Genocide. In 1999, the government renovated it and mandated COCUR/RWA to run its business.

In 2005 government sold 60 shares to an Australian company [ICM] and COCUR/RWA retained 40 percent.

Ends