The cost price of local Nigerian rice has skyrocketed as a bag now sells for N41,000.
Traders in a popular Lagos market disclosed that the increase in the cost of production on the part of farmers was due to hike in the pump price of fuel.
Weak infrastructure, grappling economy and recent economic reforms are some of the other factors that have informed the current price of rice.
Interestingly, the cost price of foreign rice now competes with that of local rice due to the high demand as a bag of both items sells from 38,000 upwards and N41,000 upwards.
Traders have expressed deep worry as the cost price of local rice manufactured and produced in Nigeria has increased drastically.
At a popular market in Lagos state, the price of Nigerian rice now competes with that of foreign rice.
Despite the introduction of local rice, Governor Babajide Sanwo-Olu, a bag of Nigerian rice in Lagos market, sells for N38,000 and N41,000.
The cost price of local rice skyrocketed in Lagos market
Checks by Legit.ng revealed a bag of foreign rice sells for N41,000 and N42, 000 upwards while a bag of local rice that is stone-free sells for N41,000 as well.
Speaking on the development, a trader at Mile 12 international market, Lagos state, explained what he understood led to the new cost price of rice.
The trader who has been in the business for over eight years now told Legit.ng
“A lot of issues have led to the increment in the cost price of rice. It’s a new administration and such development is expected because a new method of governance will be introduced affecting the existing policies in various sectors of the economy.
“I cannot really say this is one issue that has led to the increment in the cost price of rice, but one thing is certain is that the local rice that sells for N41,000 is way better and most preferred by buyers, especially caterers and chefs; this is because it is neat, it swells and also taste like the foreign rice that is costly.”
Lagos traders, rice sellers
The increment in the cost price of rice has led to a decrease in the purchasing power of buyers, traders at the market disclosed.
Trader revealed what led to the hike in the cost price of rice
When Legit.ng correspondent visited Mr Solomon’s shop at the same market, it was observed that the cost price of all the local rice in the market depending on the brand, have skyrocketed.
He disclosed that local rice that sells for N25,000 and N28,000 has increased to N32,000 and N35,000.
“The cost price of rice; local and foreign rice is very expensive even before Sallah celebrations., The festival did not inform the recent hike in cost price rather some major issues in the country such as high inflation rate, hike in the pump price of fuel which has led to the increment in transportation fares and high cost of production of rice in Nigeria are some of the factors leading to the current price of rice in the market.”
Lagos traders, Bola Tinubu, rice
Tinubu gets an urgent message as traders revealed that all goods in the market have become very expensive.
“Farmers are suffering,” fix the economy, another trader tells Tinubu
Speaking further the trader disclosed that farmers are finding it hard to come to terms with the harsh reality in Nigeria.
He urged President Bola Ahmed Tinubu to do all he can to fix the economy and provide measures to cushion the effect of the recent development in the land.
“Local rice now sells from N32,000 upwards, you cannot get a bag or local rice for N28,000 and below in Lagos market.
“The farmers are even more affected because the cost of the materials and tools used in the production has become very expensive which in turn affect the cost price of the rice when transported to the market. Most Nigerian farmers are not equipped and they lack the major farm mechanisation to produce clean, neat and good local rice. So, those who are able to do so, hike the cost of purchase,”
“There are enorcmous challenges ahead for the country and all President Bola Ahmed Tinubu can do is to fix the economy; if he does this, all other areas will be because if he missed it in the first few months in the office as president, he might not get it right till the end of his tenure,”Mr Solomon told Legit.ng.”
A trader appealed to President Tinubu to open the nation’s land border
Meanwhile, a trader who has pleaded anonymity revealed there are tougher times ahead following the recent development in the market.
The trader told Legit.ng’s correspondent that all goods in the market have become very expensive and their cost price is not dropping anytime soon due to the high exchange rate, subsidy removal and high inflation rate.
The trader, however, revealed what can be done to the current development where rice will become very affordable to the poor in Nigeria.
“The major factor that influences the cost price of rice is the supply and demand chain. As a commodity, the forces of demand and supply influence the cost price of rice in Lagos market to a large extent.
“So at the moment, the demand for rice is way higher than the supply hence the available ones are expensive.
“I am calling on the new president of Nigeria to please open the country’s land borders, equip the local farmers in the country and also do all it can to cushion the harsh effect of subsidy because this past month has been a difficult time for us all.
“We are not asking for too much but since the country has been brought into a mess, so extra measures by the government and intervention is needed so things will not get out of hand, going forward.”
Legit.ng weekly price check: Lagos trader reveals real reason why bag of rice now sells for N39,000
United Nations reveals the damage fuel subsidy removal in Nigeria is causing
It’s a few days to the Christmas and New Year celebrations, in Lagos and across the globe.
While some are preparing big for the holidays, others are lamenting regarding the events which made up their lives in the year 2022.
The year according to the traders in a popular Lagos market has not been very rosy but they are grateful for life which signifies better days are indeed ahead, as they expressed hope for what would determine their fate in the New Year.
Agriculture: How self-production saves Nigeria $5m daily, ex-Buhari minister reveals
The former minister of agriculture, Chief Audu Ogbeh, said that rice production in Nigeria is saving the country millions of dollars.
Chief Ogbeh made this in Abuja on Wednesday, June 21, at the Young Women in Agriculture (YWA) launch.
The event is under the Strategic Intervention Programme-ALPHA (SIP-ALPHA) in collaboration with the Nigerians in the diaspora and with support from Women’s Space USA.
Source: Legit.ng
