Native rice value rose by 137% – NBS

Native rice costs in Nigeria surged 137.32 per cent in October 2024 in comparison with the identical interval final yr, making it one of many nation’s 10 most costly staple meals.

The sharp rise was famous within the Nationwide Bureau of Statistics’ Chosen Meals Costs report for October 2024, which offered an in-depth overview of meals value traits throughout Nigeria.

In keeping with the NBS report, the common value of native rice in October 2024 stood at N1,944.64, a major enhance from N819.42 in October 2023.

The surge in native rice costs highlights the continuing inflationary pressures on meals costs, which have turn out to be a key concern for Nigerian households scuffling with the rising price of dwelling.

On a month-on-month foundation, native rice costs additionally noticed a rise of 1.56 per cent, up from N1,914.77 in September 2024, additional highlighting the persistence of inflationary traits throughout the meals sector.

Geographically, there have been vital variations within the value of native rice throughout Nigeria. Kogi State recorded the best value for native rice at N2,693.41, whereas Benue State recorded the bottom value at N1,267.25.

These value disparities throughout states replicate regional variations in provide, demand, and the distribution channels for staple meals.

It is usually indicative of the challenges that native farmers and producers face in assembly demand amid rising manufacturing prices and logistical challenges.

The NBS report additionally indicated that meals inflation in Nigeria remained excessive in October, standing at 39.16 per cent year-on-year from 31.52 per cent in October 2023.

The year-on-year rise in meals inflation displays broader financial challenges, together with the consequences of change fee volatility, gas value hikes, and provide chain disruptions.

On a month-on-month foundation, the meals inflation fee rose by 2.94 per cent, up from 2.64 per cent recorded in September 2024.

The NBS’ inflation report for October 2024 learn, “The Meals inflation fee in October 2024 was 39.16 per cent on a year-on-year foundation, 7.64 proportion factors greater in comparison with the speed recorded in October 2023 (31.52 per cent).

“The rise in Meals inflation on a year-on-year foundation was brought on by will increase in costs of the next gadgets: guinea corn, rice, maize grains, rice, and many others (bread and cereals class), yam, water yam, coco yam, and many others (potatoes, yam and different tubers class), palm oil, vegetable oil, and many others (oil and fat class) and Milo, Lipton, Bourvita, and many others. (espresso, tea and cocoa class).”

The incremental rise in meals inflation is a regarding pattern for Nigerians, because it means that meals costs are prone to proceed their upward trajectory, placing additional strain on family budgets.

Along with native rice, agricultural rice, sometimes offered by native farmers, noticed an excellent steeper value enhance.

The value of agricultural rice in October 2024 skilled a year-on-year enhance of 138.90 per cent to N2,023.68 from N847.08 within the corresponding interval of final yr.

Costs of agricultural rice diversified considerably throughout completely different states, with Nasarawa reporting the best value of N3,120.49, whereas Benue had the bottom at N1,354.87.

Agricultural rice, which is normally a extra inexpensive possibility in comparison with processed native rice, has turn out to be considerably costlier, additional exacerbating the cost-of-living disaster for a lot of Nigerians.

The PidomNigeria noticed that the costs of Ofada rice and imported rice had additionally seen vital will increase, contributing to the broader pattern of rising meals costs in Nigeria.

Ofada rice, an area selection grown predominantly within the southwestern area of Nigeria, skilled a pointy value rise.

In October, the common value of Ofada rice stood at N2,428.65, up from N811.83 in October 2023, representing a 199.16 per cent rise year-on-year, reflecting the rising demand for the staple and the rising price of manufacturing.

The value of Ofada rice varies significantly throughout states. In Osun State, for instance, the worth of Ofada rice was reported at N3,400, whereas in Adamawa State, it was barely decrease at N1,425.

Additionally, imported rice, which is essentially sourced from worldwide markets, has seen appreciable value hikes, influenced by the devaluation of the naira, import tariffs, and international value fluctuations within the rice market.

The typical value of imported rice in October 2024 rose to N2,471.28 per 1kg bag, up from N1,016.12 per 1kg bag in October 2023, reflecting a rise of 143.21 per cent year-on-year.

Kogi State recorded the best value for this rice at N3,187.35, whereas Niger had the bottom at N2,017.04.

The rise is essentially attributed to the continuing challenges within the international change market, which have made importing rice costlier, in addition to the upper international rice costs exacerbated by components such because the Ukraine battle and rising power prices.

The rise within the value of imported rice is additional compounded by Nigeria’s reliance on imports to satisfy home demand for rice.

Whereas native manufacturing has grown lately, it has nonetheless not been sufficient to totally meet the nation’s wants, thus resulting in an elevated dependence on imported rice.

The rising costs of native rice, Ofada rice, and imported rice have performed a serious function in driving up meals inflation in Nigeria.

Final month, the Senator representing Jigawa North-West Senatorial Zone, Babangida Husaini, known as on the Federal, State, and Native Governments to handle the rising price of primary meals gadgets, which continues to escalate nationwide regardless of the harvest season.