Across the local food markets in Lagos, there is a noticeable fall in the prices of foreign-produced foods or foods with foreign raw materials, while the prices of locally produced foods continue to rise.

This is based on a survey conducted by Nairametrics across major food markets in Lagos. The survey was for a period of one month, covering from March 12th to April 11th.

A bag of foreign rice in Igando Market, which sold for N88,000 two weeks ago, now sells for N78,000. In Iyana Ipaja Market, the same bag of rice was sold at N90,000 three weeks ago, but was down to N79,000 on April 11.

A box of super pack Indomie, which was N9,000 in December sold for N17,000 in March, but had fallen to N13,800 as of April 11.

The same trend is noticeable in supermarkets, where foods such as canned beans, stringed beans flour and a number of other food items are seeing noticeable drop in prices.

On the other hand, a paint bucket of garri, which sold at N2,500 three weeks ago at Igando Market, sold for N3,400 as of April 11. Although the transaction practice for yams in Nigeria is not measured on scales, several consumers of yam testify that the size of yam that sold at N2,500 a month ago now sells at N3,500.

Several persons who spoke with Nairametrics in Oyingbo Market, Orile Market, and Iyana Iba Market said depending on the quantity one is purchasing, the prices of beans have risen by between N300 and N500 over the past month.

Although produced with some foreign raw materials such as wheat, the prices of bread have also increased over the past month by at least N200.

What traders are saying

A wholesale rice seller, Rita Ogbuebu, ascribed the fall in the price of foreign rice to the rise in the value of the local currency. She said with the rise in the value of the naira, importers of foreign rice are buying rice cheaper in naira terms from neighbouring countries such as The Republic of Benin.

“We are expecting the prices of rice to fall even further as the naira value increases,” she said.

Janet Ogbuefuna, a shop owner in Ogba, Lagos, agrees. She said the price of Indomie has been falling over the past one month from N18,000 to N13,000 as of April 11. A manager in a popular noodles plant said some of the prices of some of the foreign inputs of noodles have fallen over the last one month, which explains the falling prices of noodles in the market.

As to why the prices of locally-produced foodstuff continue to rise, Sola Akhomolafe, an agronomist, blamed the development on the increasing insecurity in the country that prevents farmers from having access to their farms. He also blamed it on the high cost of transportation in conveying agriculture products from farm to market.

“This is coupled with an acute lack of storage facilities around the country. 60% of Nigeria’s post-harvest food products go to waste because of the lack of storage facilities,” he stated.

On the other hand, the chief executive of the Center for the Promotion of Private Enterprise (PPE), Dr. Muda Yusuf, told Nairametrics that part of the reasons for the high cost of locally-produced agriculture products is seasonality. He noted that most of Nigeria’s agriculture production is tied to the rains. He said the rainy season is just setting in.

“We are in the planting season right now. Usually, the prices of food products fall during harvest season. This is coupled with the fact that we don’t have adequate storage facilities in Nigeria. So the country’s stock of food depends on seasonality,” he said.

Referring to the rapid adjustment of food prices in the manufacturing sector, such as Indomie, Dr. Yusuf noted that manufacturing companies are better equipped to respond to changing agricultural value chain circumstances.

A wholesale yams dealer, who identified himself as Alhaji, on his part, blamed the rising cost of locally-produced food on the high cost of transportation. He stressed that there are thousands of illegal tax collectors strewn on the country’s highways that extort money from transporters. “In the end, the end consumers must bear the final cost of food products,” he stated.

Sani, a cattle dealer, expressed a similar sentiment to Nairametrics. He said from Yobe State to Lagos, he sometimes parts with more than N500,000 to illegal tax collectors on the highways before getting to his destination.

ForValour:
The price of goods keep hitting the roof tops here. When you go to the market now, you will be lucky not to come back with HBP.

BscHolder:
brotherly as it stands so I am so heartbroken.
I went to the market and came back shattered.
Garri now is 5 cups for 1,000 naira

RoyalBlu:
Na the garri own pain me pass.

From 2400 for a paint rubber to 3500. In just a couple of days.

You go to the market and you see people wandering up and down in a state of confusion.

HeatSeeker:
Nlfpmod, dominique please move to front page.

Crafteck1:


Agriculture will be a Norm if security becomes a norm

Akwamkpuruamu:


Not everyone will be a farmer. in the USA, less than 10% are farmers and they feed their nation while here is the reverse, yet food scarcity

DIVINEEVIDENCE:


Bandit dey greet you Oga.

Styluss:
what is this one talking about? was there an agric community in JGEJ era when 1 cup of garri cost 20 naira?

Mandate1:
every Nigerian mustn't go into agriculture before Nigeria will have food. Agriculture has gone beyond the 18th century approach Nigeria is adopting. In USA, less than 5% of her population are into agriculture and yet feeds the entire nation accompanied with surplus for export.

My question remains, why are our multi billionaires not venturing into agriculture? They have the money to establish large plantations but won't do so. Giving small loans to farmers will never produce enough to feed the nation. The rich billionaires in Nigeria should go into mechanised agriculture. This is where govt must come in. Encourage investors to go into the agriculture value chain with little or no tax at all.

ogub:
you are very correct 💯

Bizibi:
I was thinking hard about venturing into agric some days because I have a ten hectare land in my hometown and I noticed the gap in the sector but creating a system that will work for everyone looks like a challenge.

GodHimself:
How does 3rd party farming work pls

Cromagnon:
How do you mention multiple ppl in one mention

BscHolder:
brotherly as it stands so I am so heartbroken.
I went to the market and came back shattered.
Garri now is 5 cups for 1,000 naira

RoyalBlu:
Na the garri own pain me pass.

From 2400 for a paint rubber to 3500. In just a couple of days.

You go to the market and you see people wandering up and down in a state of confusion.

victorclean:
Gbam. Very foolish middle men causing hardship. FG out of pity banned importation for Nigerian farmers to enjoy, but their greed for money lead to increase in price above imported foods despite not paying import duties.

Nigeria middle men should be examine.

BscHolder:
then what is FG doing to curb the excesses of middlemen, they'll blame high cost of transportation

BscHolder:
oh you also noticed it too?
I've observed people in the market, most way so confused, and worse of those sellers seem heartless like they don't give a damn..
I wanted cooking stew last weekend, made a list and withdrew 5k, Omo when I came to the market and saw the drastic increment in food prices I had to withdraw again cos the initial money didn't reach, I was just at one spot buried in thoughts

HeatSeeker:


https://nairametrics.com/2024/04/12/locally-produced-foods-now-more-expensive-than-imported-once-nairametrics-survey/