Singapore-based agribusiness firm Olam Agri has secured a US$100 million loan from Dutch development bank FMO to expand rice shipments from Asia to Africa, as demand for the staple grain surges across the continent.
The seven-year financing facility will support rice exports from India, Thailand and Vietnam to several African markets where consumption has climbed steadily over the past decade, the company said in a statement on Monday.
Olam Agri, a subsidiary of Singapore-headquartered Olam Group, produces and markets agricultural commodities and animal feed globally. The new funding is expected to reinforce its established rice distribution and marketing network across sub-Saharan Africa.
The company operates in countries including Ghana, Nigeria, Cameroon and Mozambique, selling well-known milled rice brands such as Royal Aroma, Royal Feast, Mama Africa, Mama’s Pride, Riz Mémé, Riz Bijou and Mama Africana.
“This support from FMO strengthens our ability to move essential food from places where it’s grown more abundantly to markets where there’s high demand, while continuing to invest in resilient, transparent supply chains,” said Julie Greene, chief sustainability officer at Olam Agri.
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Africa’s appetite for rice has expanded rapidly in recent years, driven by population growth, urbanisation and shifting dietary preferences. Rice is now the continent’s third most consumed cereal after maize and wheat and has been the fastest-growing cereal over the past decade.
According to data from the UN’s Food and Agriculture Organization (FAO), African rice imports increased by nearly 29 percent between 2014 and 2024, rising from 13.72 million tonnes to 17.64 million tonnes. Over the same period, the import bill climbed by 33.6 percent to reach US$9.1 billion.
The upward trajectory is forecast to continue. The latest OECD-FAO Agricultural Outlook projects that rice imports by African countries will grow by 53 percent between 2025 and 2034, underscoring the continent’s rising dependence on external suppliers to meet consumption needs.
West Africa remains the largest import market, with Nigeria, Senegal and Côte d’Ivoire ranking among the continent’s top buyers. Domestic production has expanded in some countries, but output growth has struggled to keep pace with demand, leaving significant supply gaps.
The new financing positions Olam Agri to capture a larger share of this expanding market while strengthening supply chain resilience. Development finance institutions such as FMO have increasingly backed agribusiness investments that aim to enhance food security and improve trade flows between surplus and deficit regions.
For Olam Agri, the funding also comes amid intensifying competition among global commodity traders seeking to consolidate their presence in Africa’s fast-growing food markets. Rivals such as Singapore-based Wilmar International and France’s Louis Dreyfus Company have been expanding their grain and oilseed operations across the continent.
Analysts say access to long-term financing is critical in the rice trade, where working capital requirements are high and price volatility can strain margins. By securing a seven-year facility, Olam Agri gains greater flexibility to manage procurement, logistics and distribution across multiple jurisdictions.
The company said it would continue investing in transparent and sustainable supply chains, as governments and consumers increasingly scrutinise food sourcing practices.
With African rice demand projected to rise sharply in the coming decade, Olam Agri’s latest financing deal signals confidence in the continent’s growth prospects — and intensifies the race among global traders to serve one of the world’s fastest-expanding food markets.
