After weeks of sustained border closure, latest reports have shown that Nigerians are now patronizing Made-in-Nigeria rice and other locally produced food items instead of the imported ones.
Also, the latest Household Survey carried out by Nairametrics Research team shows a massive increase in prices of major imported household items across Lagos markets. It was learnt that while the price of local rice rose due to increased demand, there was a big jump in the prices of imported rice.
For instance, Items such as locally made rice increased by 13% from an average of N16,000 to N19,000, while foreign-made rice recorded a huge 35% increase in price, from a previous average of N18,875 to N25,500.
Also, a bag of brown beans (50kg) which sold earlier for an average of N13,500 now sells for N17,250, indicating a 28% increase in price.
This report reflects items that increased in price, those items that decreased in price, special markets and general insights.
Items that witnessed price increase
The price of locally made (50kg) rice increased from an average N16,000 to N18,000, indicating a 13% increase in price.
- According to reports, foreign rice is scarce in the market, due to the partial border closure imposed by the Federal government. Foreign rice is now sold for an average of N25,500, indicating a significant 35% increase.
- Also, a bag of white beans increased by 2% from N20,500 to N21,000, while a bag of brown beans (50kg) increased by 28% to now sell for an average of N17,250.
- A bag of 50kg yellow garri now sells for an average of N5,250, representing 8% increase in price.
Items with reduction in prices
According to the latest prices obtained at the market, a bag of 50kg beans (Oloyin) reduced by 1% from an average of N13,875 to N13,750.
- Also, a 50kg bag of white Garri reduced by 13% from and an average of N5,900 to N5,125.
- Locally made palm oil also reduced in price. 5 litres of locally made palm oil now sells for an average N1,850, compared to the previous N2,000 two weeks ago. A 25-litre gallon of locally made palm oil that was sold for N10,700 two weeks ago now sells for an average of N9,500.
- A 5 litre gallon of locally made groundnut oil reduced by 15% from a previous N2,325 to N1,975, while a 25-litre gallon also reduced by 3% from an initial average of N10,875 to an average of N10,500.
- Lastly, a big basket of round shaped tomatoes now sells for N8,000 from an earlier N14,000, representing a 43% decrease in price, while a big basket of oval-shaped tomatoes reduced by 22% from an initial N9,000 to N7,000.
- The sellers of tomatoes at Mile 12 market enlightened Nairametrics research team that the red round shaped tomatoes are imported from Ghana and are popularly referred to as Ghana tomatoes, while the oval shaped tomatoes are grown and harvested in the Northern part of Nigeria.
- It was also discovered that the price of onions increased at Mile 12 market, as a big bag of dry onions now sells for N18,000, compared to the former N16,000 reported two weeks ago.
- Meanwhile, a big bag of new onions sells for N13,000 from the previous N11,000. According to information obtained, the increase was attributed to the limited quantity of onions available in the market (North), as there is high demand for the commodity across the country.
The Nairametrics Research Team interviewed traders of various commodities across the various markets and recorded reactions with respect to the current market situation.
- Sellers of rice across the major markets disclosed their dissatisfaction towards the persistent rise in prices of foreign and locally made rice due to border closure and high demand of locally made rice.
A rice seller called John disclosed that he had just one bag of foreign rice remaining in his store and he planned to keep it until it would be worth as much as N30,000 in the market, which is likely to happen soon, according to him.
- However, John called on the government to help boost the local production of rice in the country so as to meet the high demand for the commodity.
- A seller of frozen foods disclosed to Nairametrics research that she has stopped selling because most consumers have opted for the purchase of live chickens in place of the regular frozen chickens and turkeys.
About Nairametrics Food Price Survey
The Nairametrics Food Price Watch is a bi-weekly household market survey that covers prices of major food items, with emphasis on four major markets in Lagos – Mushin Market, Daleko Market, Oyingbo Market and Mile 12.
|Items||Brand||Unit||MUSHIN (26/09/2019)||DALEKO (26/09/2019)||OYINGBO (26/09/2019)||MILE 12 (26/09/2019)||Average||MUSHIN (13/09/2019)||DALEKO (13/09/2019)||OYINGBO (13/09/2019)||MILE 12 (13/09/2019)||Average|
|Bag of Rice||Basmati||5kg||6500||6000||6500||6500||6375||6500||6000||6500||6500||6375|
|Bag of Rice||Mama Gold||10kg||0||0||0||0||4000||3500||4000||3700||3800|
|Bag of Rice||Royal Stallion||50Kg||26000||25000||26000||25000||25500||19500||18000||19500||18500||18875|
|Bag of Rice||Rice Master||10kg||0||0||0||0||0||3500||3500||3500||3500||3500|
|Bag of Rice||Mama Gold||50kg||18000||17000||18000||17000||17500||16000||15500||16000||15500||15750|
|Bag of Rice||Caprice||50kg||26000||25000||26000||25000||25500||19500||18000||19500||18500||18875|
|Bag of Rice||Mama's Pride||50kg||19000||17000||18500||17500||18000||16500||15500||16000||16000||16000|
|Bag of Rice||Falcon||25kg||0||0||0||0||0||6800||6500||6800||6800||6725|
|Bag of Beans||Oloyin||50kg||14000||13500||14000||13500||13750||14000||13500||14000||14000||13875|
|Bag of Beans||White||50kg||22000||20000||22000||20000||21000||22000||20000||22000||18000||20500|
|Bag of Beans||Brown||50kg||18000||16500||17500||17000||17250||14000||12000||14500||13500||13500|
|Tuber of Yam||Abuja||1 Big Size Tuber||700||700||700||650||687.5||700||700||700||650||687.5|
|Tuber of Yam||Abuja||1 Medium Size Tuber||500||550||600||500||537.5||500||550||600||500||537.5|
|Carton of Noodles||Indomie||305g (Belle full)||2900||2900||2900||2900||2900||2900||2900||2900||2900||2900|
|Carton of Noodles||Indomie||200g (Hungry man)||3200||3200||3200||3200||3200||3200||3200||3200||3200||3200|
|Carton of Noodles||Chikki||100g||2000||2200||2100||2100||2100||2000||2200||2100||2100||2100|
|Carton of Noodles||Minimie||70g||1500||1500||1500||1500||1500||1500||1500||1500||1500||1500|
|Carton of Noodles||Golden Penny||70g||1400||1400||1400||1400||1400||1400||1400||1400||1400||1400|
|Bag of Garri||Ijebu||80kg||7000||6800||7000||7000||6950||7000||6800||7000||7000||6950|
|Bag of Garri||White||50kg||5500||5000||5500||4500||5125||5800||6000||6000||5800||5900|
|Bag of Garri||Yellow||50kg||5000||5000||5500||5500||5250||4700||4700||5000||5000||4850|
|Basket of Potato||Sweet||Big Basket||5000||5000||5000||5000|
|Basket of Potato||Sweet||Small Basket||700||700||700||700|
|Basket of Potato||sweet||Smallest Basket||200||200||200||200|
|Basket of Potato||Irish||Biggest Basket||20000||20000||20000||20000|
|Basket of Potato||Irish||Medium Basket||2000||2000||2000||2000|
|Basket of Potato||Irish||Small Basket||1500||1500||1500||1500|
|Packet of Pasta||Golden Penny||500g||3300||3400||3400||3400||3375||3300||3400||3400||3400||3375|
|Packet of Pasta||Dangote||500g||3500||3500||3400||3400||3450||3500||3500||3400||3400||3450|
|Packet of Pasta||Power (1 pc)||500g||180||200||180||200||190||180||200||180||200||190|
|Packet of Pasta||Bonita (1 pc)||500g||200||200||200||200||200||200||200||200||200||200|
|Gallon of Palm Oil||Local||5 Litres||2000||1700||2000||1700||1850||2000||2000||2000||2000||2000|
|Gallon of Palm Oil||Local||25 Litres||10500||9000||9500||9000||9500||11000||10500||10800||10500||10700|
|Gallon of Vegetable Oil||Local||5 Litres||2000||1900||2000||2000||1975||2400||2200||2400||2300||2325|
|Gallon of Vegetable Oil||Local||25 Litres||12000||9500||11000||9500||10500||11000||10500||11000||11000||10875|
|Gallon of Vegetable Oil||Kings||5 Litres||3000||3000||3000||3000||3000||3000||3000||3000||3000||3000|
|Gallon of Vegetable Oil||Wesson||5 Litres||3900||3900||3900||3900||3900||3900||3900||3900||3900||3900|
|Gallon of Vegetable Oil||Mamador||3.8 Litres||2500||2450||2500||2400||2462.5||2500||2450||2500||2400||2462.5|
|Gallon of Vegetable Oil||Power||3 Litres||1800||1800||1800||1800||1800||1800||1800||1800||1800||1800|
|Bunch of Plaintain||Plaintain||1 Big Bunch||400||400||350||400||387.5||400||400||350||400||387.5|
|Bag of Flour||Dangote||50kg||10800||10500||11000||11000||10825||10800||10500||11000||11000||10825|
|Bag of Flour||Honey well||50Kg||11500||11000||11200||11000||11175||11500||11000||11200||11000||11175|
|Bag of Flour||Mama Gold||50kg||11500||11300||11000||11000||11200||11500||11300||11000||11000||11200|
|Bag of Sugar||Dangote||50kg||3500||3200||3400||3200||3325||3500||3200||3400||3200||3325|
|Milk||Peak Powdered (Tin)||400g||1250||1200||1200||1200||1212.5||1250||1200||1200||1200||1212.5|
|Milk||Peak milk (Refill)||500g||1050||1000||1000||1000||1012.5||1050||1000||1000||1000||1012.5|
|Milk||Dano Powdered (Tin)||500g||1000||1000||1000||1000||1000||1000||1000||1000||1000||1000|
|Milk||Loya Powdered (Tin)||400g||1000||1000||1000||1050||1012.5||1000||1000||1000||1050||1012.5|
|Cocoa Beverages||Milo (Tin)||500g||1000||1100||1050||1000||1037.5||1000||1100||1050||1000||1037.5|
|Cocoa Beverages||Milo (Tin)||900g||2000||2100||2100||2100||2075||2000||2100||2100||2100||2075|
|Cocoa Beverages||Milo Refill||500g||900||900||900||900||900||900||900||900||900||900|
|Cocoa Beverages||Bournvita Refill||500g||950||900||950||900||925||950||900||950||900||925|
|Cocoa Beverages||Bournvita (Plastic)||900g||2000||2000||2000||2000||2000||2000||2000||2000||2000||2000|
|Cocoa Beverages||Ovaltine Refill||500g||800||800||850||850||825||800||800||850||850||825|
|Tea||Lipton Yellow label||52g||310||290||300||300||300||310||290||300||300||300|
|Sugar||St' Loius Sugar(Cube)||500g||400||380||400||450||407.5||400||380||400||450||407.5|
|Sugar||Golden Penny Sugar (cube)||500g||350||300||350||300||325||350||300||350||300||325|
|Bottled Water (Refill)||Cway||Refill||600||600||650||600||612.5||600||600||650||600||612.5|
|Juice||5 Alive||1 litre||600||550||550||600||575||600||550||550||600||575|
|Tomatoes||Big Basket||round shaped||8000||8000||14000||14000|
|Medium Basket||round shaped||6500||6500||8000||8000|
|Small Basket||round shaped||5000||5000||6000||6000|
|Big Basket||Oval Shaped||7000||7000||9000||9000|
|Small Basket||Oval Shaped||4500||4500||4000||4000|
|Fish||Kote (Horse Mackerel)||1 kg||450||450||500||420||455||450||450||500||420||455|
|Fish||Titus (Mackerel)||1 kg||450||400||450||450||437.5||450||400||450||450||437.5|
Cost of preparing jollof rice in Nigeria rises by 7.8% in Q1 2021 – SBM
The average cost of making a pot of jollof rice in Nigeria rose by 7.8% between March 2020 and March 2021.
The average cost of making a pot of jollof rice in Nigeria rose by 7.8% between March 2020 and March 2021. This is contained in the SBM Jollof index report for Q1 2021, published by SB Morgen.
According to the report, the increase was caused by the prolonged border closure, increased energy tariffs, exchange rate volatility, coronavirus pandemic, and the restrictions of forex for the importation of items, largely due to falling oil prices.
It also identified the effect of the #EndSARS protest against brutality and the response of the government, which brought the main economic states in Nigeria (Lagos and Abuja) to a standstill for major parts of the month of October 2020.
- Specifically, the average cost of making a pot of jollof rice in Nigeria increased from N7,167 recorded in Q4 2020 to N7400 in the first quarter of 2021. representing a 3.24% quarter-on-quarter increase.
- The cost of making a pot of rice is most costly in Wuse and least costly at Awka. The report, however, suggests that the disparity could be a result of operational costs rather than the actual cost of commodities.
- While it is possible for people in Awka to substitute buying some of the commodities with products from their subsistence agriculture, the same is not possible in Wuse, largely because of its very urban nature.
- The high exchange rate of N410/$1 to N475/$1 in the parallel market also adversely affected the price of jollof rice in the country as tomato puree, rice, turkey, and seasoning are affected by the exchange rates.
- Also, flooding destroyed several hectares of rice farms across the country. The report stated that up to 500,000 hectares of rice farms were destroyed in Kebbi State alone.
- The price of turkey has increased as a result of increased electricity tariffs which has forced increases in cold room costs.
According to the SBM Jollof report, “Our interviews with traders shows that transportation costs have not reduced since they were increased during the introduction of the COVID-19 protocols. One of the traders stated that she pays almost twice her former transportation cost prior to COVID-19, and the prices have not gone down even after drivers began to carry more passengers than permitted by the social distancing protocol.”
Jollof costliest to cook in Wuse, Abuja
In Abuja, food production is mainly undertaken by its neighbouring states Benue, Kaduna, Kogi and Niger, all of which have seen several attacks in the past few years, showing a decline in that dimension.
- The report revealed that the cost of making a pot of jollof rice is highest in Wuse, Abuja.
- Although food distribution has not been affected and unemployment rates are over 40%, but being the administrative headquarters of the government and most international NGOs, outreaches and food distribution are common.
“In all the states surveyed, out of a score of 50, the combined score ranged from 18-27 which shows a general decline in entitlements across the states and similar levels of severity. While Bauchi has a higher chance at getting food insecure, the other states are slightly above the borderline, showing medium decline in their entitlement (ability to get food).”
What you should know
According to the report, in all the markets surveyed, the cost of making a pot of jollof rice increased in Awka, Calabar Municipal Market, Mbakpa, Onitsha, Port Harcourt and Trade Fair, while Balogun, Bauchi, Bodija, Dugbe, Kano, Nyanya and Wuse experienced a slight decrease.
- The South-South and South-East states experienced an increase in the cost of making Jollof rice, Northern states experienced a price reduction.
- The price decrease was attributed to the harvest period which usually forces prices of some commodities like onions and tomatoes down.
- It however suggested that this decrease may have failed to happen in the Southern part of the country because of the cost of transporting the goods down south and because of the price surge introduced by the food blockade.
Mobile & USSD transactions surge by 82.6% as Covid-19 spurs mobile adoption
Mobile transactions in Nigeria (mobile & USSD) surged by 82.6% in 2020 to stand at 1.69 billion, as covid-19 discourages physical banking.
Mobile transactions in Nigeria (mobile & USSD) surged by 82.6% in 2020 to stand at 1.69 billion compared to 928.86 million recorded in the previous year. This is according to the 2020 instant payment annual statistics, recently released by the Nigerian Inter-Bank Settlement System (NIBSS).
The report also revealed that 78% of total instant payments carried out in Nigeria in 2020 were done through the use of mobile devices.
The breakdown of the data showed that while mobile payment retained its position as the most preferred channel, accounting for 43% of the total transactions in 2020, USSD followed closely at 762.19 million transactions, accounting for 35% of the total recorded in the year.
The agency attributed the growth to the move by Nigerians away from physical channels, and the closure of most bank branches in the country during the heat of the covid-19 pandemic.
In terms of Year-on-Year performance, the volume of mobile transactions in the country grew from 506.16 million in 2019 to 933.66 million in 2020, indicating a surge of about 84.5% YoY. Also, the volume of USSD transactions grew from 422.7 million to 762.19 million, advancing by about 80.3% YoY.
- The report stated that with approximately 49.5% smartphone ownership in the country and 97 million mobile internet users, there are strong indications that mobile and USSD payments will see significant growth in the short-medium term.
- Customers between the ages of 25 – 34 years carried out 36% of all interbank instant payments in 2020. This indicates that the younger demographics boosted the adoption of instant payment in the review period.
- Also, 79% of instant payment transactions in the review year were initiated by customers between the age of 15 – 44 years.
- A cursory look at the report also shows that Lagos state maintained the hub for electronic payments, accounting for 30% of the total transactions initiated in the country. Others on the list of highest transaction volumes include; Abuja (7%), Ogun (6%), Rivers (6%), and Oyo state (5%).
- According to the report, 1.37 billion transactions initiated in the year were carried by males, representing 72% of the total, while 520.04 million or 28% were females.
Nairametrics had reported that twelve Nigerian banks listed on the NSE, raked a sum of N216.52 billion from their e-business earnings in 2020. A list that is clearly topped by the tier-1 banks in the country. This shows how banks are leveraging the growing internet adoption in the country.
A look at bank financials
- Union Bank in its FY 2020 Investors’ presentation stated that the pandemic played a vital role in its 38% YoY growth in Union Mobile active users. It stated that 94% of its transactions are now done online.
- In the same vein, Access Bank remarked that its USSD users at the end of FY 2020 increased to 7.8 million, while the mobile app and internet banking users were 9.8 million at the end of 2020.
- GT Bank on the other hand noted that its USSD users grew by 13.1% YoY, from 6.1 million as of December 2019 to 6.9 million in 2020. Of this figure, 5.7 million users were categorized into the active segment.
As witnessed from the increase in the volume of transactions, the covid-19 pandemic has changed the electronic payment landscape in Nigeria and the world as people try to cut the excesses of physically visiting banks to carry out their financial transactions. This was due to the lockdown implemented by the federal government in response to the covid-19 spread.
Nairametrics | Company Earnings
Access our Live Feed portal for the latest company earnings as they drop.
- 2020 FY Results: Guinea Insurance Plc reports a loss of N227.7 million.
- 2020 FY Results: Unity Bank Plc posts profit after tax of N2.09 billion.
- Guinea Insurance Plc reports a loss of N142.13 million in 9M 2020.
- Unilever Nigeria Plc set to hold Annual General Meeting on 6th of May.
- UBA Plc posts profit after tax of N38.16 billion in Q1 2021.