He also encouraged those in the agribusiness to consider genuine collaboration to maximise their potential.
His aide listed drought, the high cost of fertiliser, flooding, and insecurity as other factors pushing up local rice prices.
Mr Fashola said the state government would improve the distribution channels with time.
The governor said the state had a robust integrated plan that would ensure food sufficiency and food adequacy in Lagos.
Mr Obasa said the two rejected nominees are Olalere Odusote and the immediate past Commissioner for Budget, Samuel Egube.
The Speaker, Mudashiru Obasa, made this known at plenary.
