Unlike before, the prices of foodstuff are generally on a downward trend trajectory as against the later parts of 2023 and 2024. SUNNY IDACHABA examines the statistics in some cities and markets across the country.
Before now, prices of foodstuff across major markets in the country have been on a steady rise due to many reasons that bother on economic policies and global meltdown. This got to the point that it became increasingly difficult for most families to afford meals twice a day. Instead of the traditional three square meals, many feed only once.
In some austere situations, there were reports of families depending on animal feeds or abandoned rice because when the desirable is not available, the available becomes desirable.
Succour, however, came recently following the crash in the prices of foodstuff in most cities and markets across the country.
Precursor to price-drop
Indication to this was given early this year by the Minister of Information and National Orientation, Mohammed Idris, who reaffirmed the federal government’s commitment to lowering the costs of food commodities through massive investments in agricultural production.
He spoke at a press briefing to kick-start the Ministerial Briefing Session for 2025.
He said while the federal government would not impose price controls on food commodities, in line with the principles of a free-market economy, the administration remains focused on reducing prices by boosting agricultural production and increasing supply.
“In the past, we used to have these commodity boards where prices were fixed but in the spirit of free market and encouraging entrepreneurship, especially within the agricultural value chain, the government didn’t feel that it was necessary for them to begin to control prices.
“Now, what the government is doing is to ensure that there is massive production of food items and it’s a supply and demand issue. Once you have whatever you need in abundance, the tendency is that the price will automatically come down,” he said.
Tinubu corroborates
President Bola Ahmed Tinubu during a parley he had with some selected journalists in February also reiterated what the minister said reiterating that his administration would not consider the establishment of commodity boards to regulate prices of food stuff; rather market forces would eventually force food prices to a manageable level.
That magic wand appears to pay off as reports from various parts of the country indicate that prices of essential food stuff and consumables are gradually on a decrease to the delight of buyers and consumers even though traders are ‘whining’.
Surveys across selected markets
Random surveys conducted in Abuja markets, especially in places like Kado, Wise, Nyanya, Garki, all point to decreasing food prices. In Kado Market, the survey showed that in the last three weeks, a 50kg bag of rice which previously went for between N97, 000 and N100, 000 in January now goes for N87, 000.
In the same market, a 25kg bag of rice that was formerly sold between N45, 000 to N50, 000 within the same period now goes for N43, 500.
A sample conducted in Garki Market shows that while a 50kg bag of rice dropped from N92, 000 to N81, 000–N83, 000 in January, a 25kg bag now goes for between N42, 000 and N43, 000 compared to N45, 000 earlier in the year.
The same applies to Nyanya Market where a 50kg bag of rice which went for N90,000–N93,000 in January, now goes between N70,000 and N83,000.
At Apo Fish Market, the sample shows that a 50kg bag of rice now goes for 93,000 as against 105,000.
In the same vein, prices of consumables like onions have also reduced. For instance, at the Orange Market, Abuja-Keffi road, a bag of onions now goes for between N50, 000 and N55, 000 as against 100,000 in January. In Garki Market, the prices dropped from N180, 000 to N60, 000 per bag.
It’s no different in Karu Market where yellow gari previously sold for between N57, 000 and N60, 000 per bag, now costs N55, 000.
In Lagos, for instance, the price of a 50 kg bag of foreign parboiled rice now sells for N85, 000, depending on the brand and size of the grain as against N110, 000 as of January.
A 50kg of local parboiled rice now sells for N95, 000 compared to N105, 000 sold three months ago. A big basket of fresh tomatoes which used to be sold at N120, 000 in January has dropped to N35, 000.
Also, in Lagos, a 4-litre paint container of garri now sells for N2, 500 from an average of N3, 500 sold months back. In Abuja and Onitsha, a big tuber of yam now sells for N2, 500 as against N5, 500 some months ago.
In the North-east, for instance, prices of food crops crashed considerably in the last three month chiefly due to bumper harvest recorded in all the last planting season.
In states like Adamawa, Borno, Taraba and Yobe, the story is same with farm produce like onions, peppers, maize, rice, yam, Irish potatoes, beans, cassava, melon seed, millet, benniseed, carrots and others flooding the market due to bumper harvests.
Investigations revealed that the respective state governments assisted farmers with incentives to encourage them to go into farming especially in the post insurgency moment.
In Potiskum, the prices of cereal foodstuffs in Cereal Market shows that a bag of millet now goes for N60,000 instead of N80, 000. A 50kg white bean is now sold for N55, 000, 100kg of white beans N87, 000, a big Red Beans currently sold for N90, 000 against N120, 000. Likewise, peanuts are currently sold for N130, 000 as against N210, 000 sold last year.
In Damboa, the price of a 100kg-bag of maize dropped from N54, 000 to N40 ,000; soybeans dropped from N40, 000 to N32, 000; sorghum from N50, 000 to N41, 000; a mudu of locally processed rice, from N3, 600 to N1, 300 and white beans dropped from N1,700 to N1,100.
In the outskirts of Maiduguri, especially Molai, the price of a 50kg-bag of maize dropped from N52, 000 to N45, 000 and guinea corn from N58, 000 to N50, 000. Again, thus was due to bumper harvest.
At Jimeta Modern Market, it was discovered that prices of staple foods like maize, rice, guinea corn, and beans have dropped in the last few weeks, a development attributed to lack of money in circulation which forces grain hoarders to release the produce for sale. This is consequent upon the prevailing peace between farmers and herders which had hitherto prevented farmers from going to their farms.
In Jalingo, a bag of millet which was initially sold at N75, 000 is now sold at N60, 000 while a bag of beans which was sold at N150,000 is now at N120,000. Also, a bag of sorghum which was sold at N65, 000 is now N45, 000 just as a bag of onion which was initially N220, 000 is now N70, 000.
Reasons for price-drop
It could be recalled that in 2024, the federal government considered granting a licence to certain individuals and companies to import food into the country. The government, it was learnt, has also released grains from Strategic Grain Reserves into the market to help cushion the effect of price hike. This is just as the escalating tension between farmers and cattle herders was being addressed especially in many states in the North.
Another major reason for drop in the prices of foodstuff is the reduction in fuel prices. Recall that Dangote Petroleum Refinery reduced fuel prices twice in February, and the Nigerian National Petroleum Corporation Limited (NNPCL) also did the same.
A business woman, Nse Fache, said, “You know, fuel is the major problem affecting everything. Now that the pump price of fuel is reducing, it is also affecting the price of commodities.”
Some experts have also attributed the recent drop in food prices to intervention programmes from institutions like the Central Bank of Nigeria to stabilise the foreign exchange sector.
Also, the dry season farming initiated by the government in states like Sokoto, Kebbi contributed largely to abundance of food items like onion, tomatoes and pepper, thereby causing prices to drop.
In as much as this development appears cheering, what is of paramount interest to every Nigerian is sustainability so that Nigerians can have food on their menu tables. It is for that reason the government needs to step up its plan to ensure that there is no room for a return to the years behind.