ACCI calls on govt to mitigate food inflation crisis

The price of rice, a staple food for most Nigerian households, increased by 189.79 per cent between May 2023 and May 2024. During the period, the price of beans, another major staple, soared by 219.05 per cent.

The National Bureau of Statistics (NBS), in its Selected Food Prices Watch for May 2024, indicated that the average price of one-kilogramme bag of local rice sold at N1,608.89, an increase of 189.79 per cent on a year-on-year basis from N555.18 figure of May 2023. It, however, noted that the price of the product increased by 14.98 per cent on a month-on-month basis from N1,399.34 in April 2024.

For beans, the NBS reported that the average price of one kilogramme of brown beans (sold loose) increased by 219.05 per cent on a year-on-year basis from N 629.75 in May of last year to N 2,009.23 in May 2024. On a month-on-month basis, the average price of the item increased by 44.77 per cent from N 1,387.90 in April 2024.

Other items listed by NBS are tomatoes, which also recorded a significant price rise, as the price of one kilogramme rose by 196.92 per cent on a year-on-year basis from N 498.34 in May 2023 to N 1,479.69 in May 2024. On a month-on-month basis, it increased by 31.71 per cent from N1,123.41 in April 2024.

The average price of one kilogramme of white Garri sold loose rose by 200.12 per cent on a year-on-year basis from N371.42 in May 2023 to N1,114.72 in May 2024, while there was an increase of 30.87 per cent on a month-on-month basis.

Also, the average price of one kilogramme of yam tuber increased by 189.20 per cent on a year-on-year basis from N457.25 in May 2023 to N1,322.36 in May 2024. On a month-on-month basis, it soared by 16.98 per cent from N1,130.37 in April 2024.

Nigerians have been facing serious hunger, following the high cost of food items in the market. In May, food inflation rose to an all-time high of 40.66 per cent. Recent government measures, including the release of assorted grains for distribution to the citizens, have done very little to bring down food prices.

The Abuja Chamber of Commerce and Industry (ACCI) has, however, called on the Federal Government to urgently develop measures to stabilise food prices, enhance food security, and alleviate the economic burden on Nigerians.
The ACCI President, Emeka Obegolu, said the escalating food inflation crisis poses severe threats to food security and exacerbates poverty levels.

“Food is a fundamental necessity of life, and its affordability directly impacts the well-being of citizens. The escalating food inflation crisis poses severe threats to food security and exacerbates poverty levels.

The government must take decisive action to mitigate this crisis and alleviate the suffering of the populace,” Obegolu said.

Recall that the NBS 2023 report said Nigeria already had 133 million people living in multidimensional poverty before the recent economic challenges. Obegolu said there are growing concerns that this number has swelled over the past eight months, exacerbating the socio-economic landscape.

In the past, he said, staple foods like cassava flour (garri) and beans served as affordable options for the common man, adding that the current scenario paints a starkly different picture, with prices skyrocketing beyond the reach of the average citizen.

However, the Federal Government is optimistic that by the time farmers harvest their dry season crops and the current wet season harvest gets to the market, prices would crash.