Dangote Rice Limited, a division of Dangote Industries Limited, has signed a buy and sale agreement with Niger Foods Security Systems and Logistics Company Limited, which is controlled by the Niger State Government, for a consistent supply of paddy rice.

According to a statement on X, this partnership aims to boost Nigeria's rice production and contribute to the nation's food security.

Niger Foods and Dangote Rice are collaborating to enhance food security and increase rice production, which is a staple food in Nigerian households. Under the terms of the agreement, Niger Foods will develop and produce agricultural products, including paddy rice, which will be sold to Dangote Rice. The company will also engage in large-scale mechanised and commercial farming. The deal was signed at Dangote Industries Limited's (DIL) Lagos headquarters.

During the brief agreement signing ceremony, Dangote Industries Limited President/Chief Executive Aliko Dangote welcomed the Niger State delegation, led by Governor Mohammed Umaru Bago, to his office. He stated that the agreement is aimed at promoting food production sufficiency in Nigeria, "a feat we have achieved both in the cement and oil refining sectors."

According to Dangote, Niger Foods is a well-known rice cultivation and processing business that has produced paddy.

He noted, “We share the same altruistic vision with Niger Foods, of establishing and developing efficient and profitable agricultural businesses, processing, and supply of diverse farm produce towards contributing to national food sufficiency and security. For this aligned vision towards a food-secure Nigeria, we commend the Niger State Governor, His Excellency Umaru Bago and his administration.”

Dangote clarified that Niger Foods will be providing Dangote Rice Limited with premium paddy rice, resulting from the deal. This will significantly contribute to the nation's food sufficiency and sustainable agricultural development.

According to the prominent African businessman, Dangote Rice has made significant investments in rice mills and plantations across Nigeria with the goal of fostering food security and self-sufficiency, while also creating jobs through the out-grower program.

“We believe that more private sector players should be encouraged to partner the government in developing commercial agriculture. This is vital, considering the private sector currently accounts for roughly 90% of our GDP,” he stated.

Niger State has now joined Jigawa, Sokoto, Kebbi, Kano, and Nasarawa as the five states where Dangote Rice has mills under construction. Dangote added that by the end of 2026, the Dangote Group will have sourced one million tons of paddy rice from local farmers.

This will significantly strengthen the country's rice food supply network and provide local farmers with the assurance and confidence they need to continue growing rice paddy, knowing that there is a willing off-taker in the market.

Governor Bago commended Aliko Dangote for agreeing to the cooperation arrangement, stating that his administration is motivated by Dangote's humility and Midas touch.

He further claimed that Niger State has a competitive edge due to its abundant water and arable land resources. He mentioned that his administration has sought investors in rice production to boost agriculture, similar to what is done in other countries, to capitalise on this comparative advantage.

The Governor also remarked, “Lagos State is opening a food hub and needs off-takers. We have signed a memorandum of understanding (MOU) with them. We are transitioning our people from the primitive to civilised modes of farming. We are partnering Turkish investors all in a bid to improve our agricultural yield. We need to feed ourselves, which is why we are excited about this development.”