Minister Maru eyes PNG’s first large scale commercial rice farm in 2024

Rice is a stable diet for Papua New Guineans, and the price tag of K900 million annual import, speaks volumes.

For decades, many rural Papua New Guineans have successfully grown rice for self-consumption, but the stable diet which is served on many dinner plates has not seen the national governments commitment to commercialize the rice industry.   

The Minister for International Trade and Investment Minister Richard Maru wants to change that narrative in 2024.  

He revealed this week, a commercial rice farm in the Central Province has agreed to a joint venture with the National Government and Wilmar International Limited to establish the first national rice company in PNG.      

 “Wilmar is very kind to partner our government, through Kumul Agriculture and partner Jeffery Kennedy [Rigo Rice managing director], who has now agreed to provide 5000 hectares of land at Rigo, where he has land title on that state land for his company.

“It will become Papua New Guineas first large-scale commercial farm, the first in the history of our country.   

“Our dream to finally have our own commercial rice industry, and start replacing import of over K900 million a year, is about to be set in motion,” Mr Maru said.   

Wilmar International Limited is a Singaporean food processing and investment holding company with more than 300 subsidiary companies.

PNG owned Rigo Rice brand, had been in operation for the last five-years, in the Rigo District of Central Province.

And managing director Jeffery Kennedy said “the farm had proven that rice, can be, grown on a commercial scale in the country,” and the joint venture company is the wheel of change.

“We have substantial land available, either state lease or customary.”

Mr Kennedy further said with earlier discussions with customary landowners in Central Province, they have shown interest to partner with Rigo Rice.

Rigo Rice is one of the projects, captured under the national government, special economic zone concept. 

International Trade and Investment Minister Richard Maru said “5, 000 hectares is not enough to replace PNG’s K900 million worth of rice imports annually.

“We need 100, 000 hectares of rice farm to feed all Papua New Guineans with our annual demand being 400 000 metric tons.

“We will start with Rigo and the Sepik Plains [in East Sepik] and we are happy to talk to other provinces and districts with the same potential as Rigo and Sepik Plains who would like to go into large scale commercial rice farming.”

Mr Maru further said the shareholding of the joint venture company and monetary investment will be known after the completion of the feasibility studies at Rigo Rice Farm, to be undertaken by Wilamar International in the coming weeks.