Organic rice of Madagascar: 70 tonnes destined for exports

A decree was issued by the Ministry of Commerce allowing two companies located in the regions of Analamanga and Amparafaravola to export rice to western countries, including Europe and the United States. These two companies are respectively Sigma whose headquarters is in Analamanga and the cooperative “Koloharena Ivolomiarina” located in the North East of the Big Island.

The issuance of this decree is significant because it contradicts the government’s decision in 2008 to suspend exports of local rice given the context of global food crisis. The High Authority of Transition again reinforced this prohibition, in March 2011, taking into account the situation of local production. Indeed, it was found that the Malagasy were no longer able to ensure their home consumption.

The tonnage authorized by the decree is 70 tonnes of rice which primarily concern the variety known as “Rojomena”, reputed to have a good flavor. On the other hand, it has already penetrated the market of organic rice abroad and its price may exceed 30 to 40% of the traditional rice’s price. Figures provided by the United Nations’ Food and Agriculture Organization (FAO) over 10 years show a steady increase in demand for organic products between 10 to 20% every year, and with main destination European and North American markets. Thus, this situation is an opportunity for market expansion for Madagascar which, more than ever, needs to be open to foreign trade.