Price of Rice Hits N42,000 in Southeast, Sells Cheaper in Lagos, Other Parts of Nigeria
- The price of rice has steadily increased since the beginning of 2022, peaking at N42,000 to N45,000 per 50kg
- In most of the places visited, the price of the commodity has doubled since September this year
- The price of the commodity is highest in the southeast and cheapest in the southwest, according to Legit.ng survey
Nigerians may face Christmas without their favourite staples, especially rice, as the commodity's price has steadily climbed since the beginning of this year.
Rice began the year selling between N20,000 to N22,000 for N50kg in most parts of Nigeria with hopes that the prices would decline with time.
Source: Getty Images
Price of rice jumps 100 per cent in months
But a recent survey by Legit.ng shows that the price of 50kg of rice has more than doubled in the last nine months.
PAY ATTENTION: Join Legit.ng Telegram channel! Never miss important updates!
A BusinessDay report shows that in Abuja, the price of rice has risen by 33.3 per cent to N40,000 in September from N30,000 sold in July last year.
Jollof index, compiled by SMB Intelligence, an Africa-centric geopolitical research and strategic communications consulting firm, used the famous Wuse market as a benchmark for its findings.
The report said the declining value of the naira is primarily to blame as most rice consumed in Nigeria is mainly imported against claims by the Nigerian government that the country is self-sufficient in rice production.
According to data gathered by Legit.ng across nine markets spanning the six geopolitical zones, the product's price has increased by over 100 per cent and, in some instances, 120 per cent.
In the southeast, for instance, 50kg of rice is sold for N42,000 as against N35,000 it sold by this period last year.
In the south-south, 50kg of rice is sold between N36,000 to N38,000. According to rice dealers interviewed in Edo and Delta states, the commodity makes a stopover from Lagos and another southwest state.
The commodity price is mostly lower in Edo as dealers bring them from the north.
Osaze Okozua, a significant rice dealer, told Legit.ng that dealers buy the product directly from farmers from the north.
"You know there is a northern parts of Edo that share boundaries with the north. So, it is easier for us to get the product cheaper from them. Also, most sellers bringing the product from Lagos stop in Benin where we also get cheaper," Okozua said.
The National Bureau of Statistics shows a steady increase in the price of rice across Nigeria, with one 1 kg of rice sold for N410 in September selling for N471.42 one year after.
SBM Intelligence said:
"The rice harvest, expected for November-December 2022, has been cut off, and Nigerians have to wait till the next harvest season, which is August-September 2023 for the South and November-December for the North.
"This means that in about one year, domestic production of rice will reduce considerably."
Dealers have speculated that the price may hit about N50,000 by Christmas, making it unaffordable for most homes.
However, rice has remained relatively cheap in the southwest.
In Lagos, the commodity price is sold between N32,000 to N35,000 in most markets surveyed.
Below are the prices of rice in selected locations.
- Lagos (50kg): N32,000 – N35,000
- Jos, Plateau State (50kg): N31,500 – N35,000
- Ilorin, Kwara State (50kg): N32,000 – N35,000
- Ibadan, Oyo State (50kg): N33,000 – N35,500
- Port Harcourt, Rivers State (50kg): N33,000 – N35,000
- Lagos (25kg bag): N16,000 – N18,000
- Sokoto, Sokoto State (25kg bag): N15,500 – N17,500
- Sokoto, Sokoto State (100kg bag): N60,000 – N70,000
Lagos trader reacts as a bag of rice sells for N43,000
Recall that Legit.ng reported that traders are not happy with the present market condition, which is occasioned by the grappling economy in recent weeks.
It's barely two months to the Christmas and New Year celebrations, rice, a commodity that receives major patronage in Lagos markets, has witnessed a rise and fall in its prices.
The depreciation of the naira is one of the major factors contributing to the hike in the cost price of goods in Nigeria and Lagos market is paying hugely for that as the supply of goods from neighbouring states and countries are threatened on a daily basis by this development.
Source: Legit.ng
