Due to rising transportation costs that reduce household earnings and drive up food prices, Nigerians are going without food.
Transport expenses have increased by 20 to 100 percent over the past 22 months due to the approximately fivefold increase in gas prices. This has increased the cost of logistics for food traders, who then pass the cost on to customers.
Because they can’t always afford to eat three square meals a day, many families go without food.
Over the past seven years, there has been a notable increase in the cost of transit in Nigeria, according to SBM Intelligence. According to SBM Intelligence, bus transport fares for interstate travel increased by 403.5 percent.
The average increase in airfare was 280.7 percent, while the average increase in water transportation rates was 148.8 percent during the same time frame.
“The impact on Nigerians with low incomes is particularly harsh. Small businesses and traders reliant on transportation for goods distribution face increased operational costs, leading to higher consumer prices,” SBM Intelligence explained.
Adebisi Olaoye, a food vendor and businesswoman in Lagos State’s well-known Ketu market, bemoaned in an interview how difficult it was for her to provide for her family and clients.
Olaoye remarked, somewhat irritated, “As a food vendor with four children, I barely provide three square meals for my family, notwithstanding the cost of meeting the needs of my customers.”
The price of one litre of gasoline ranges from N800 to N900. As the naira-for-crude negotiations between the federal government and gasoline refiners continue, it is expected to reach N930 per litre.
The hike, made necessary by the deregulation of the petrol market, has worsened poverty and living conditions for Nigerians. The NBS estimates that 133 million Nigerians live in multifaceted poverty.
According to NBS data, food inflation is 23.51 percent. The rebased consumer price index (CPI) in January 2025 is the reason for the notable decline from 39.84 percent in December 2024. It is quite high, though.
According to an investigation by SBM Intelligence, “the cost of staple foods more than doubled for many cash-trapped Nigerians in just one year.”
“Those who are gainfully employed still struggle to afford healthy diets per day due to shrinking disposable income,” stated Samson G. Simon, chief economist of ARKK Economics and Data Limited, about the affordability of healthy meals.
According to the Nigerian Financial Services Market Report, only 2.4% of Nigerians make more than N200,000 each month, and 3.7% make between N150,000 and N200,000.
“About 8.3 percent earn between N100,00 to N150,000, with 19.3 percent earning N50,000 to N100,000. About 21.2 percent make N35,000 to N50,000; 27.8 percent earn N35,000; and 17.1 percent are unemployed Nigerians,” he stated.
According to the survey, three out of ten Nigerian workers spend more than 20% of their pay on transportation.
