Nigeria has experienced a startling 170% increase in food costs over the last five years, despite ongoing efforts in the agriculture sector. A troubling pattern of rising food costs is revealed by the Consumer Price Index (CPI) notwithstanding the N1.08 trillion Anchor Borrowers Programme (ABP), which was implemented to increase food production.
According to the CPI, the monthly food index increased by over three times, from 296.4 points in December 2018 to 790 points at the end of the previous year. Nigeria’s rice production increased significantly as a result of the ABP, from 3.9 million metric tons in 2015 to 5.2 million metric tons in 2023.
The last five years have seen a 300% increase in rice prices due to a two million metric tonne annual supply shortfall.
President Bola Tinubu’s removal of fuel subsidies worsened the situation despite efforts to improve it, making it more difficult for people to buy basic essentials. Despite accusations of corruption, the Ministry of Humanitarian Affairs, Poverty Alleviation, and Disaster Management has not yet provided the promised palliative measures to the impacted populace.
According to a recent National Bureau of Statistics (NBS) research, serving a healthy lunch is becoming more and more difficult in Nigeria, with an estimated cost of N703. Considering the 28.9% inflation rate and declining disposable income, a lot of families are currently in danger of being hungry.
According to the Cadre Harmonisé research, 26.5 million Nigerians are expected to experience increased food insecurity by 2024. The government has responded by ordering the release of 102,000 metric tons of various grains in an effort to slow the rise in food prices.
Stakeholders, however, denounce this action as a band-aid fix, claiming that the real problem is the continuous insecurity, especially in states like Borno, Adamawa, Yobe, Katsina, Sokoto, Kaduna, Benue, and Niger.
Arc Kabir Ibrahim, President of the All Farmers Association of Nigeria (AFAN), highlights that resolving security issues is a prerequisite to solving the food crisis. Numerous farmers have lost their lives, and others have taken up residence in camps for internally displaced people (IDPs).
Fiscal governance expert Mr. Eze Onyekpere underscores the impact of the exchange rate crisis on food inflation, with imported farm inputs becoming more expensive. To effectively lower food prices, he advocates addressing both insecurity and the exchange rate challenges.
In conclusion, the multifaceted nature of Nigeria’s food crisis requires comprehensive solutions that address not only agricultural interventions but also security and economic factors.
