Bread Prices, Other Food Items to Crash as Nigeria Is Set to Receive N194 Billion Worth of Wheat
- In line with the import duty-free window ordered by the Nigerian government, about 400,000 tonnes of wheat is expected in Nigeria
- About six vessels carrying 134,412 tonnes of wheat have already arrived in Lagos and Calabar ports
- The country is expecting more vessels with wheat from the US, Canada, and Latvia in line with the federal government’s policy
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Nigeria is about to take delivery of 400,000 tonnes of durum, hard red winter and soft red winter wheat varieties worth N194 billion or $129.2 million this August.
Six vessels carrying 134,412 tonnes have already arrived at the Lagos and Calabar port terminals.
Source: Getty Images
Bakers and flour millers order wheat
Biscuit makers and flour millers ordered the cereal from Latvia, Poland, Lithuania, the US, Argentina, and Canada.
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According to reports, there would be opportunities to import more than 250,000 tonnes under the 150-day duty-free import window directed by the Nigerian government per the guidelines issued by the Nigeria Customs Service.
According to the reports, the US Department of Agriculture (USDA) disclosed in its international wheat report for August 2024 that Nigeria's imports from wheat-producing countries reached about 4.8 million tonnes between January and July 2024, stating that the figure would further rise by eight per cent to 5.2 million tonnes before the end of August.
In May this year, Nigeria’s millers received about $34 million of hard red winter wheat from the United States.
More vessels arrive in Nigeria’s ports
Data from the Nigerian Ports Authority (NPA) disclosed that Spring Lotus arrived with 50,496 tonnes at the Apapa Bulk Terminal Limited (ABTL), Lagos Port, as Rostrum secured space at Greenview Development Nigeria Limited to offload 37,736 tonnes.
Standard Flour Mill (SFM), Lagos, is also expecting Poseidon Gr with 5,000 tonnes, Nord Namani, 9,520 tonnes and Yasa Osaka, 15,015 tonnes, while Rostrum with 16,646 tonnes has berthed at the Calabar Port.
National Bureau of Statistics (NBS) data disclosed that Nigeria imported N130.26 billion of durum wheat from Canada and N98.63 billion from Lithuania in the first quarter of 2024.
Farmers begin aggressive wheat cultivation
The New Telegraph reported that Nigeria partnered with the African Development Bank (AfDB), the Flour Milling Association of Nigeria (FMAN), and the Wheat Farmers Association of Nigeria to achieve a target of 800,000 tonnes in 2024.
The reports said that findings show that about 277,577 hectares of land are being cultivated by farmers, leading to an increase of 139% from 115,909 hectares in 2023.
The findings concentrated on wheat farming in 15 northern states, showing growth in cultivated areas.
The affected states include Adamawa, Bauchi, Borno, Gombe, Jigawa, Kaduna, Kano, Katsina, Kebbi, Niger, Plateau, Sokoto, Taraba, Yobe and Zamfara. This year, Jigawa is cultivating 39,904 hectares of wheat as against 18,288 last year, while Niger would cultivate 42,672 hectares as against 1,466 last year.
FG begins duty-free Import of rice and other food items
Legit.ng earlier reported that the Nigerian government has already started implementing the 150-day duty-free imported window directed by President Bola Tinubu.
The move will allow Nigerians to import essential food items into the country to tame the rising food inflation.
According to the Nigerian Customs Service, the Nigerian government will forfeit about N187 billion on import duty during the policy period.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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Source: Legit.ng
