Cameroon to boost local rice production

For many, the end of the fiscal advantage over the imported rice is an incentive for a greater production of the Cameroon rice.

2016 Finance Law reinstated a customs duty of 5% on imported rice in Cameroon.

This law will interfere with the codes of production and consumption of this important foodstuff. In principle, the price of rice consumption is expected to increase from the month of January 2016.

But it did not. Trade Minister Luc Magloire Atangana Mbarga reassured consumers and traders of production chains and distribution of mass consumer products to maintain commodity prices. Numerous consultations were made to prevent speculation that can drive up prices.

"There is a verbal speculation because we know the available stocks and citizenship of the sector operators. We must, therefore, fight this verbal speculation because despite the change in status, no need to increase the price of rice, "says the Minister of Commerce.

So now, the customs duty of 5% on imported rice in Cameroon is reinstalled. This decision is not necessarily negative because a large slice of the rice consumed in Cameroon comes from imports to the detriment of local production.
The rice needs in Cameroon are around 450 000 tonnes a year. Local production contributes are not even half or a little over 200,000 tons a year.

And we noted that so far, many of the imports of this commodity was re-exported in the subregion. The Government is, therefore, committed to growing local production which will eventually cover the entire Cameroonian market and make prices fall further.