Rise in Rice Prices: How Nigerians struggle And Die In The Midst Of Plenty

Sharing is caring

In July, 2024, just six months ago, the Federal Government of Nigeria reportedly announced a slash in the price of a 50kg bag of rice by 50 per cent to N40, 000 across the country. This it said was because of the release of 20 trucks of rice to the Governors of the 36 states including the Federal Capital Territory for onward distribution to Nigerians. Quoting the Minister of Information and National Orientation, Mohammed Idris, “There is also rice that is being sold at about 50 per cent of its cost. A bag of rice is being sold as we speak now. This rice has been taken to various centres across all the states of the federation and is being sold at N40, 000. Centres have been created, so that those who need this rice can go there and buy it at N40, 000,” he said. However in December 2024, six months later, things have gone worse, even before December. The Royal Stallion Parboiled 50kg rice cost N101, 000. This is just to put into perspective the grim situation of a staple food, arguably the most consumed food after Garri (Cassava flakes). According to a July 2024 report of the National Bureau of Statistics (NBS), the average price of imported high-quality loose rice has risen dramatically by 144.77 per cent over the past year, with a 50kg bag rising to N95, 738 in September 2024, up from N37, 853 in September 2023, while the Federal Government delayed implementing its duty-free food policy. The Federal Government announced a 150-day duty-free import window for food items as part of its efforts to combat rising inflation, which has pushed many Nigerians into poverty.

Conversely, in Cotonou, the capital of neighbouring Benin Republic, the price of a 50kg bag of rice is approximately ₦38,000 (around 1,117 Francs per kg). According to a social media market follower in Cotonou @conscienceman4, “The price for 50kg bag rice varies significantly: ₦75,000 to ₦95,000 depending on the brand and quality. Some specific prices include: ₦87,500 for standard rice, ₦124,240 for premium brands. Summary: In Cotonou, a 50 bag of rice is about ₦38,000. In Nigeria, prices range from ₦75,000 to ₦95,000. This indicates that rice is generally cheaper in Cotonou compared to Nigeria.”

Priced out from Rice, die from Rice giveaways

In a surprising development of events, bags of rice have been on parade by the political class, the Presidency, Governors, Ministers, Senators, House of Representatives members, business moguls and other philanthropists and privileged members of the Nigerian population since December 2024 began. Bags of Rice in their thousands were transported to every corner of the country by trucks, also in their thousands. What seemed beyond the reach of the ordinary Nigerian suddenly became available to this class of persons and was distributed as palliatives to Nigerians who are made to stand in queues.

Here are a few examples of many of such rice giveaways in different parts of the country this December;

Nigeria’s First Lady, Sen. Oluremi Tinubu gifted 1,000 bags of 25kg rice for Christmas to the vulnerable groups within the Christian Community in Bauchi state. The Bauchi State Chairman of the Northern Nigeria Christian Political Forum, Mr. Ayuba Umar Yelwa, while distributing the rice to various local government coordinators on Monday, said that the Northern Nigeria Christians would celebrate Christmas in joy amid biting hardship in the country.

Dr Tony Nwoye who represents Anambra North Senatorial District gifted 2,000 bags of 50kg, 5,500 bags of 25kg, 10,000 bags of 10kg with cartons of Groundnut oil, Tin tomatoes, Bags of Salts, cartons of Maggi and seasoning to constituents in 99 political wards of Anambra North Senatorial District and over N200Million in cash gifts to selected 3762 Stakeholder (38 Persons per ward in each of the 99 wards) in Anambra North Senatorial District and 7 Local Governments of Anambra North. While handing over these items to selected committees from each Local Government in Anambra North, Senator Nwoye, acknowledged that Nigerians were going through a tough time.

In Edo state, former Governor, now Senator Oshiomhole, acknowledged that Nigerians were going through a tough time but appealed for patience with President Bola Tinubu’s administration. Adams Oshiomhole, the All Progressives Congress senator representing Edo-North District, has distributed 11,000 bags of rice to residents in the district to celebrate Christmas. 10kg, 25kg, and 50kg of rice were distributed to the six local government areas of the Edo-North District.

In Delta State, The Tony Elumelu Foundation donated 1,800 bags of rice to the seven traditional quarters of Onicha-Uku. The Onicha-Uku royal palace and council of chiefs, elders, faith-based organisations including the Christian Association of Nigeria (CAN) as well as various socio-cultural and youth groups also benefited from the Elumelu gesture. Excited leaders of the different groups and elders were at the country home of Elumelu to express their appreciation of the donation.

The Bayelsa State Governor, Senator Douye Diri approved the distribution of 4,200 bags of rice to vulnerable persons across the state’s eight local government areas. The state Commissioner for Information, Orientation, and Strategy, Ebiuwou Koku-Obiyai, while flagging off the distribution at the Banquet Hall, Ovom, Yenagoa, said the bags of rice were Christmas gifts to the downtrodden in the 105 wards in the state. She explained that each ward would get 40 bags distributed through the local government chairmen and councilors.

December 2024 will not be forgotten in a hurry because at least 37 Nigerians died the stampede of of Okija, in Anambra, South East Nigeria and in Ibadan, Oyo state, south west Nigeria in the space of three days, many of whom were women and children. 27 people were feared killed in the Okija incident and 10 confirmed dead in Abuja. Many others were fortunate to escape with varying degrees of injury.

Why is the cost of rice high?

The unfortunate situation is that despite this Rice windfall in December, the status quo returns thereafter. For most parts of the year, many Nigerians cannot afford this food. But what is the foundational reason for this high cost that has made a staple food to become divided the Nigeria population into social and economic class based on their affordability levels? Mr. Linus Obeji, the Chairman of Abakaliki Rice Mill Industry, shares some insights explained why rice prices remain high in Ebonyi State, despite the state’s status as a major rice producer. Mr Obeji made this statement during an interaction with journalists at his office in Abakaliki. While acknowledging that rice prices at the mill are relatively lower compared to other states, he noted that they have not decreased as much as expected. “The reality is that the cost of rice remains high due to several factors that are beyond our control,” Obeji said. A major factor, according to Obeji, is the rising cost of agricultural inputs. “We don’t produce fertilizer here; it’s supplied by agrochemical companies. We also hire labor, and these costs contribute to the price of rice. As an off-taker, I don’t control the price—what the producer sells to me is what I pass on to my customers,” he explained. Insecurity is a major issue that affects us. “This is not just an issue that affects Ebonyi state for example, it rears its ugly head in many forms in almost all parts of the country, From Farmer-herder clashes, boundary disputes and communal clashes to insurgency and banditry, all of these things affect productivity and the final prices of the product. So it’s a lot to deal with,” he added. You can also talk about the infrastructural decay in this country; roads are not good leading to an increase in transportation too.” “Abakaliki’s rice industry, though growing, still faces the challenge of relying on seasonal farming, which is highly dependent on weather conditions. “We have already engaged with the government to move beyond seasonal farming and adopt all-year-round farming. They have promised to help us establish an irrigation system,” Obeji said. “And with that, I believe Abakaliki Rice Mill will become a major player in food supply, not only in Nigeria but across Africa. We have all it takes to feed not only Nigeria but the entire African continent,” Obeji stated.

Despite this, Obeji expressed optimism that government incentives have helped lower prices “We are happy for the achievement of restoring our normal measurements, which has brought back many of our customers and farmers. For the first time in the history of Abakaliki Rice Mill, we have also introduced social infrastructure, including a 15-bedroom toilet facility for our workers and customers,” he said. “We have also attracted several incentives from IFAD, and for the first time, we now have a kitchen where visitors and millers can have breakfast and more,” Obeji added. “We’ve brought civility to Abakaliki Rice Mill, unlike before when gangs and touts nearly took over the company,” he concluded.

2024 was a year Nigerians were priced out of many of the basic necessities of life, food being one of the most crucial necessities and Rice being a major meal on the table of many Nigerians. The Federal Government as has been stated above has come up with several agricultural interventions but Nigerians are not holding their breaths for a respite in the price of Rice.

In Bauchi, the state chairman of the Northern Nigeria Christian Political Forum, Ayuba Umar Yelwa (middle) presenting, the First Lady, Senator Olufemi Tinubu’s Rice Palliatives to vulnerable groups

Leave a Reply

Your email address will not be published. Required fields are marked *