Prices of essential food items in Nigeria surged significantly in April 2024 compared to the same period last year, according to the latest Selected Food Price See report from the National Bureau of Statistics (NBS).
The report revealed a concerning rise in the cost of staple foods across the board. Here’s a breakdown of the price increases:
- Rice: The average price of 1kg of local rice sold jumped a staggering 155.93 per cent year-on-year, reaching N1,399.34 in April 2024. This is compared to N546.76 recorded in April 2023. There was also a slight increase of 3.47 per cent from March 2024.
- Garri: Garri, another Nigerian staple, saw a significant year-on-year price increase of 134.98 per cent. A kilogram of white garri sold rose from N362.50 in April 2023 to N851.81 in April 2024. The price also increased by 13.59 per cent compared to March 2024.
- Tomatoes: The cost of tomatoes also skyrocketed, with a year-on-year increase of 131.58 orr cent. The average price of 1kg of tomatoes reached N1,123.41 in April 2024, compared to N485.10 in April 2023. Additionally, there was a month-on-month rise of 17.06 per cent from March 2024.
- Beans: Similar trends were observed for beans, with a year-on-year price increase of 125.43 per cent. The average price of 1kg of brown beans sold rose from N615.67 in April 2023 to N1,387.90 in April 2024. The price also saw a 12.44 per cent increase compared to March 2024.
- Yam: Yam, a popular root vegetable, was not spared either. The average price of 1kg of yam tubers increased by 154.19 per cent year-on-year, reaching N1,130.37 in April 2024 from N444.69 in April 2023. The price also saw a modest increase of 5.76 per cent compared to March 2024.
These sharp price hikes are likely to put a strain on Nigerian households, especially those with low incomes.
The government may need to consider implementing measures to address the rising cost of food staples and ensure food security for Nigerians.
Nigeria’s first professor of capital market studies, Uche Uwaleke said the inflationary pressure in Nigeria today is more on the food component reflecting the impact of cost push factors arising, especially from high cost of electricity and fuel as well as flooding and insecurity, which continue to impact food supply.
He said, “There’s also the demand side occasioned by increasing money supply from rising FAAC allocations, fiscal dominance, and CBN’s Ways and Means, which feed into high exchange rates.
“Given these demand and supply inflation dynamics in Nigeria, both monetary, fiscal, and trade policies must be properly coordinated in order to boost production and tame inflation.
“State governments should endeavour to apply the increase in FAAC allocation due to naira devaluation on productive activities.
“The current effort by the government in boosting agriculture through the cultivation of 500,000 hectares of land, including the plan for Agric mechanisation, is a step in the right direction. I equally applaud the plan to set up special security teams to rid our forests of bandits, kidnappers, and insurgents.
“On its part, the CBN should ensure that direct advances to the FG in the form of Ways and Means are curtailed within the ceiling specified in the CBN Act.”