What is responsible for the instability in food prices? TONIA ‘DIYAN sought the views of some traders and consumers against the backdrop of rising foodstuffs prices.
•Traders lament continuous hike in price of food stuff
Prices determine the demand for every item. The higher the price, the lower the demand. This is also applicable to foodstuffs. There low patronage due to the increasing prices of commodities, The Nation shopping gathered from traders.
To some traders, the instability in prices of food items is caused by the devaluation of the Naira.
A seller of frozen fish at Mushin Market, who requested to be identified only as “Iya Abbey”, believes the devaluation of Naira is the reason for the hike in the price of fish.
She said: “The prices of my goods have increased due to increment in the value of dollar which I find shocking as I have never heard of a case where dollar’s worth affects the prices of fishes”. The fish we buy at the rate of N9,000 is now purchased for N11,000 and N12,000 while that sold N7,000 now sells for N13,000.”
She lamented the low patronage of her goods caused by the increase in prices, making the business less profitable. “Business is not moving like before because of the rate at which we sell our fishes now compared to before. We now sell three Titus and Kote fish for N1000, it was formerly N600. In fact, we formerly sold them for N500 but that has changed now.”
Mrs Muyinat Adeyemo, another trader at Mushin Market selling plantain, had no different tale to tell. She also blamed the devaluation of Naira for the hike in the cost of her goods which were formerly one of the cheapest.
“The increase in dollar has played a role in the hike of my plantain price. Also, the inadequate distribution of plantain due to the restriction in the movement of trailers is also a contributing factor,” she said.
She noted that this month’s sales were better than the last two months when she recorded low sales, because of fuel scarcity at that period. She told the Nation Shopping that plantain formerly sold for N100, N200 no goes for N300 and N500. “Plantain is now a food for the rich,” she said, noting that most of her customers complain as they but plantain reluctantly.
The hike in the price of some other food stuffs is not only caused by the devaluation of the Naira but also because of the ban placed on them.
A rice and groundnut oil seller, who pleaded anonymity, said the hike in the price of her goods is not only due to the devalued Naira but also because of the ban on importation of rice.
She said: “Before now, we sold a bag of rice for N7,500; a bag now costs N9,000. However, this depends on the quality as we also have some for N10,500 and N11,000. Also, the price of groundnut oil has gone up as we now buy at N6,160 as against N5,850.”
Tomato sellers, on the other hand, experienced a reduction in prices compared to last month. A bowl of tomatoes sold for N500 now goes for N200. Mrs. Bisola Olowu, a tomato seller said: “The prices of our good will continue to fluctuate because its availability is seasonal.”
Generally, a survey of other major markets showed that prices of commodities have been irregular since the beginning of this year. Some items are still sold twice their prices despite that that the festive season, which influenced their prices increment, is over. but the reverse is the case with staple items, particularly in Lagos.
This development has forced various categories of eateries and canteens to increase the prices of their meals, attributing the high costs to unstable and unfavourable prices of farm produce which, according to them, they still buy for twice their original prices.
Beans have been the most expensive in recent times and customers have not stopped lamenting due to its unstable price – especially those brought from the northern part of the country. Mrs Romoke Adewale, who sells beans in small and large quantities at Daleko Market, complained that a bag of beans sells for between N16,000 and N18,000, and the price has not come down.
“Beans price hike has to do with the crisis in the North most of the time because that is where it is comes from. The price has been very unstable; sometimes, we get tired of purchasing because we are not sure of how much we are taking with us,’’ she said.
Some traders also attributed the unstable prices to flood in some northern states where food items are mainly transported from. Farmlands are sometimes washed away and farmers with a few crops will increase the prices to make up for their investments,” he said.
A wheelbarrow of yam costs between N8,000 and N15,000. It hasn’t been stable since after Christmas.
The survey showed that the price of garri, a common staple food among low income earners, has also been irregular, jumping to N280, sometimes, N300 for a brand while another sells for between N200 and N230. Yam flour now costs between N750 and N800 at times, while those mixed with cassava sell for N500 and N600.
According to traders, the prevailing security challenges in some parts of northern states have also prevented many of them from travelling to places where some commodities are available at affordable prices.
A yam seller, Mr Bala Usman, said the country was no longer safe for traders who travel to the North to get foodstuffs cheap, so that they can also sell them cheap to consumers. “The yam you see here are costly; it is not our fault; we also have to sell to make profits. We are afraid to travel to our home towns,” he said
A retailer, Mr Franklin Idumebor, said: “Foodstuffs are now very expensive. They keep rising and I wonder when the prices will fall; we sell according to how we buy.”
The price of onions has also gone up tremendiously and it has become scarce. A bag which was sold for N5,000 and N6,500, now goes for N15,000, it cost N6,000 to N7,000 as at last month.
Consumers said they are at the receiving end. “When the prices are increased, we tend to suffer for it more,” said Mr Uchenna Kalu.
He suggested a price control board to regulate food prices, saying food is one of the three basic amenities a human being shouldn’t be deprived of.
For Mr Femi Abass, the problem is with market women who refuse to reduce prices of food items even when they buy at cheap rates.
“You often hear them say: ‘na so we buy o’! And when you say the price has reduced, they shout at you saying: ‘na old market I get, I never go buy new one.’
He added, “the problems at the local level are created by us. We are usually the architect of our misfortunes,” he said
