Aftermath of flooding: Food prices rise by 200%

Foodstuffs on display

Just as Nigerians were nursing the hope that the prices of staple food items would fall at harvest season, the prices have started to go through the roof.

A countrywide survey by our correspondents indicates that the prices of food  items are rising beyond the reach of the average Nigerian, an aftermath of the devastating floods that have hit most states of the country.

Many states are recording between 200 and 300 per cent rise in the prices of food items like garri, beans and rice, among others.

Five months ago, our survey in Lagos had found that the prices of some staple foods had risen by 300 per cent, though major food dealers said then that prices would drop during the harvest season.

The cost of importation, insecurity, global climatic change, partial removal of fuel subsidy and lack of a food policy were said to be partly responsible for the hike.

With all these factors still present and the recent floods that have swept through most states in the country, the hope of price reduction is waning.

Amidst this, the Federal Government had in line with its self-sufficiency rice policy (by 2015) proposed a 10 per cent duty, plus a 100 per cent levy on imported polished rice in the 2013 budget.

Notable as the FG’s self-sufficiency initiatives are, they have come under severe scrutiny by members of the public, who contend that in the obvious absence of locally-grown rice on account of the floods, there should be a relaxed policy on imported brands.

Meanwhile, Nigeria’s inflation rate was officially put at 11.7 per cent in August 2012, compared to 12.8 per cent recorded in July, according to a recent report from the National Bureau of Statistics.

Though the inflation rate dropped, the NBS said the composite food index increased year-on-year by 9.9 per cent to 135.9 points in August 2012, down from 12.1 per cent in July 2012.

The relative moderation of food prices in August came and later snapped, according to the NBS, owing to a number of factors, including higher prices of fish, oils and fats, as well as increase in imported food prices. This trend ensured that the full benefit of a drop in inflation did not manifest in food prices drop.

The prices of staple food items in Kogi State, especially in Lokoja, have skyrocketed a month after floods ravaged about 334 communities in nine local government areas of the state.

More than 152,272 hectares of farmland were submerged by the floods, according to the Chief Press Secretary to the Deputy Governor of Kogi State, Mr. Michael Abu.

A random survey conducted at Old Market and International Market, Lokoja, on Wednesday showed an increase in the prices of many food items. This has been linked to the recent flooding in the state, which rendered many Kogi residents homeless, and destroyed many farmlands.

A staple food dealer at Old Market, Mrs. Aminat Suleiman, said essential food items had witnessed a sharp price increase. Suleiman said that a bag of beans that sold for N6,500 and N7,000 before the floods is now N14,000.

According to her, yellow garri, which is common and sold for N6,500 a bag, currently goes for N9,000. White garri, formerly sold for N5,500 per bag, now goes for N8,000.

She added that a bucket of yellow garri formerly sold at N350 now sells for N450 to N500, while a bucket of white garri, which previously cost N200, now costs between N350 and N400.

Suleiman said, “A few weeks ago, a paint bucket of beans ‘Oloyin’ specie of beans went for N200, but it is now N600 a bucket, while the other lower brand otherwise known as ‘Olotu’  previously sold for N750, now goes for N1,500. A cup of beans commonly referred to as Derica is now N250.”

Miss Rose Ajayi said that a carton of popular brand of noodles, which formerly went for N1,750, currently goes between N2,050 and N3,000.

Another trader, Mr. Rufus Alade, said that a bag of brand of rice called ‘Agric rice’ previously sold for N6,700 now goes for N7,500. He added that other brands of rice like ‘Mama Gold’ and ‘Royal Umbrella’, which were sold at N9,280 now go for  N10,000.

Another trader, Kayode Ahmed, said that prices of onion and Irish potato had also soared.

“A bag of onion ranged between N6,000, to N6,500 few weeks ago, but currently a bag of onion is N25,000. This is quite high and it is even difficult for us to recoup the cost of purchase not to talk of profit making,” he said.

A trader, who deals in groundnut oil and palm oil, Alhaji Shakirat Yekini, said that 25 litres of palm oil previously sold between N5,500 and N5,800 now goes for N7,000 to N7,300. A yam, dealer, Mr. Alfred Umaru, said that a tuber of yam which previously sold for N200, now goes for between N350 to N400.

In Awka, the effect of the flooding that swept through the food basket of Anambra State has begun to take a toll on the prices of foodstuff in the state.

A survey of the Nkwo Amaenyi Market and the Eke Awka Market in Awka showed a rapid rise in the prices of foodstuff. Before the flooding, the price of a ‘Painter’ (small gallon of paint) that used to be N240 is now N400. A cup of ‘iron’ beans that used to be N35 is now N90.

A cup of brown beans that was N35 before the flooding is now N80, while a cup of local beans that was N25 is now N45.

A measure of dried Mangala fish that was N200 is now N300. Fiofio, a brand of local beans that used to be N35 is now N50.

A 50cl bottle of palm oil that was N200 is now N240, while a 50cl bottle of groundnut oil that was N400 is now N420. A small tuber of yam that was N200 is now N250. But the price of rice has not changed.

In spite of the rising rates, there are  fears that the prices will go up considering that the areas affected by the floods are the food basket of the state.

Mrs. Virginia Okeke, who sells foodstuff at Amaenyi Market, said food prices were likely to increase because the market at Otuocha was affected by the floods.

Two local government areas – Anambra West and Ogbaru – considered to be the food basin of Anambra, were completely submerged, while Anambra East, Ayamelum, Awka North, Ihiala and Ekwusigo, also noted for producing food and fish, were partially submerged.

However, reports by our correspondent in Enugu State said the Eastern Zonal Executive Council of the Senior Staff Association of Nigeria Universities said the flood had not made a noticeable impact on food prices yet because the state witnessed only about two serious cases of flooding.

Mrs. Nkemdil Uchendu, a trader at New Market in Enugu, said, “No food item has increased in price. If there is any, it could be on the basis of supply, distribution and other market challenges, not necessarily the floods.”

In Abeokuta, the capital of Ogun State, our correspondent reported that the head of the butchers at Kuto Market, Alhaji Samsudeen Balogun, said the problem of flooding in some parts of the North where they usually got their supplies, had continued to affect the prices of cattle, sheep and goat.

Balogun said the current situation had led to a hike in the prices of livestock by suppliers.

He said that an average sized cow that used to sell for about N100,000 some months ago now goes for N250,000, while a goat, which used to go for N10,000, now costs double.

“We usually buy the cow from the sellers from the North at Olodo Market in Ibadan and some other places. The price has increased and they told us that it is as a result of flooding and insecurity in the North,” Balogun said.

“In fact, we do a lot of persuasion and bargaining before they would sell to us even at the new prices. If we don’t buy the cow, there will be shortage of meat and our customers will suffer. We pray that God should bring the problems in the North to a quick end.”

The pepper and onion sellers at the market however said that though their supplies were affected by the flooding in the North, they had an alternative source.

According to them, they have the opportunity of sourcing their supplies from some parts of the South-West.

Mrs. Yusuf Alake, one of the pepper sellers, noted that in spite of this, the prices of these ingredients had increased compared to the recent past.

At the Fruit Garden Market in Port Harcourt, a basin of garri, which cost N1,800 last September had risen to between N4,000 and N4,500, while a cup of beans that sold for N65 per cup currently goes for N100.

A rubber of fresh tomato, which was sold for N250 before the advent of the floods in some parts of the country, now sells for N400. The price of pepper has not changed as it still stands at N150 a rubber.

A custard rubber filled with fresh tomato is currently N1,100 as against the old price between N700 and N800, depending on the freshness of the item.

At the Fruit Garden Market, a bag of Mama Gold rice is now N11,000 as against N9,500, which it was sold before September 2012. The price of a cup of beans, which stood at between N60 to N70 now sells at N100.

A food stuff seller, Mr. John Okoro, blamed the astronomical increase in the prices of beans, rice, garri and tomato on the flooding of some parts of the country.

“When the cost of transporting these food items is very high, the effect will be on the cost of the food items. That is why we are experiencing this increase in the price of some of the foodstuffs,” Okoro argued.

Also, Esther Chibueze, who sells plantain at Mile One Market, said a bunch of plantain now goes for N2,200 as against N1,500. Chibueze attributed the increase in price to the floods in Bayelsa and Rivers states.

According to her, moving food items like plantain from the farm is difficult due to the flooded areas in the South-East and South-South zone of the country.

The prices of staple food items have also increased in Calabar and other major towns in Cross River State following the devastating effect of flooding and other natural disasters occasioned by climate change.

At the popular Etim Edem, Watt and Marian markets, a milk cup of beans, which was formerly sold for N30 or N40, now sells for N70, depending on the variety. A small 5kg bag of beans currently sells for N2, 000.

A bag of garri, which used to be sold for N11, 000 now sells for N16, 000.

A bottle of groundnut oil now sells for N260, while the same bottle of palm oil which was sold before at N160 now sells for between N200 and N220.

A trader at the Etim Edem Market in Calabar, Mr. Linus Chukwu, said, “The floods have affected farmers greatly, especially the cassava farmers and that resulted in the rise in prices.”

Residents of Abuja, have also been feeling the effects of the floods. Investigations showed a noticeable increase in the prices of foodstuff in the markets at Kubwa and Utako. Some traders told Saturday PUNCH that the price of garri had increased tremendously because of the floods.

For instance, a bag of garri, which was N7,000, now sells for N14,000, representing 1000 percent increase in price. The traders said that the flooding in the Niger Delta and other parts of the country was responsible for the rise in the price of garri.

According to them, several people from states in the Niger Delta, especially Delta, have been besieging Abuja to buy cassava in large quantities.

The prices of goat meat are also prohibitive with a medium-sized cut costing about N1,500.

Traders blame the high cost of foodstuff from the farms and the hike in transport fares for the general rise in the cost of other commodities.

A meat seller, Ibrahim Abubakar, said that cattle dealers found it difficult to transport their livestock from the North, adding that the flooding in parts of the country was responsible for the hike in food prices.

Curiously, the prices of imported rice also rose from N9000 to N11, 000. Also, a kilogram of salt was increased from N70 to N100.

However, the effect of the floods on price of yam was not as high.

At the Giri junction on the Abuja Airport Road, yam sellers now sell 10 tubers of fresh yam for N2000 as against the initial price of N1,500 for 10 tubers of yam of average sizes.

Elsewhere in the capital, food prices have continued to soar even as the floodwaters recede.

A separate survey carried out in Dutse, PW and Kubwa Markets showed a slight increase in the prices of food items like rice, beans, yam, tomato, onion as well as fresh pepper.

In Lagos, the cost of imported rice ranges between N8,000 and N10,000 per bag depending on the brand. But market forces ignited by the flooding, tariff on imported polished rice among others, threaten to push the price up, especially as the festive seasons are approaching.

Rice dealers said that the price should shot up in some weeks’ time because of the floods that have washed large rice farmlands away.

The floods, the worst in 30yrs, submerged property, farmlands, and the Niger Bridge, the link between the north and the south of the country.

Meanwhile, the Nigerian Institute of Food Science and Technology has called on the Federal Government to properly manage the issue of flooding in the country so as to prevent food scarcity.

The institute said that devastation caused by the flooding in some parts of the country, if not properly handled, might lead to further devastation.

From: Punch Newspaper