Kirehe rice farmers seek help to recover Rwf64m from defunct company

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Rice Farmers in Rwanda’s Kirehe District Seek Resolution for Unpaid Debts

A cooperative of rice farmers in Rwanda’s Kirehe District is calling on the government to assist in the recovery of more than Rwf64 million in outstanding payments owed by a defunct processing company. The debt, which dates back to the 2019 farming season, remains a significant financial burden for the members of COOPIRIKI Cyunuzi.

Rice Farmers in Rwanda’s Kirehe District Seek Resolution for Unpaid Debts
Kirehe District

The issue was brought to the attention of Local Government Minister Dominique Habimana during his visit to the Cyunuzi marshland in the Gatore Sector on May 15, 2026. According to Evariste Harerimana, president of COOPIRIKI Cyunuzi, the cooperative successfully sued Izimano Industries for the unpaid balance following the delivery of rice. However, the legal victory did not lead to payment, as the factory’s assets were liquidated to cover debts owed to other creditors, including banks and the Rwanda Revenue Authority.

Challenges Facing Commercial Rice Farming

Despite the ongoing financial dispute, COOPIRIKI Cyunuzi has demonstrated significant growth since its inception in 2006. The cooperative has scaled its operations from 12 hectares to 490 developed hectares, with plans to expand by an additional 100 hectares. With a membership of 3,458, the cooperative maintains an average yield of 6.4 tonnes of rice per hectare.

Government, Farmers Seek Solutions to Boost Rice Industry

However, the cooperative faces systemic challenges that threaten long-term productivity:

  • Environmental Risks: Soil erosion and runoff from the Kayonza-Rusumo road continue to damage crops, with more than 40 hectares impacted during the most recent farming season.
  • Infrastructure Gaps: A lack of stable electricity prevents the operation of newly purchased rice drying machines, leading to nearly 18% of harvests being damaged while drying in open spaces during inclement weather.
  • Investment Recovery: The cooperative has invested over Rwf160 million in the Kirehe Rice Factory, yielding a Rwf40 million dividend, while simultaneously diversifying into community projects like the construction of the Nyakarambi modern market.

Government Commitment to Farmer Support

Minister Habimana acknowledged the cooperative’s role in transforming rice cultivation into a professional commercial enterprise. During the site visit, he pledged that the government would investigate the outstanding debt to ensure farmers are not unfairly penalized for their labor and investments.

Government Commitment to Farmer Support
Rice Farmers

“Any possible process to recover that money should begin,” Minister Habimana said. “Farmers should not lose investments they worked hard for.”

The Minister also challenged the farmers to push for higher efficiency, urging the cooperative to increase productivity to at least seven tonnes per hectare. He emphasized that the government remains committed to providing opportunities for organized groups to progress, provided they continue to work collaboratively toward economic development.

Key Takeaways

  • Outstanding Debt: COOPIRIKI Cyunuzi is seeking recovery of Rwf64 million for rice supplied in 2019.
  • Operational Scale: The cooperative manages 490 hectares and supports over 3,400 members.
  • Infrastructure Needs: Access to reliable electricity is a priority to reduce post-harvest losses, which currently affect nearly 18% of their yield.
  • Government Oversight: The Ministry of Local Government has committed to reviewing the farmers’ request for assistance regarding the defunct processor.

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