Food price inflation - Why pay more for less?

Introduction

The price of food and foodstuffs just keep climbing high and up. We are barely matching the pace of the inflation. Each week one comes shopping for food items, there is a new price often higher than the last time you visited the market.

I just came off the market to buy rice. The two images up and below is the 25KG bag of rice that I just got. The price of this quantity of rice is NGN39,000 ($25). That is almost 80% price hike in the past 6 months. Not just rice but every other foodstuff has seen a massive price hike since the past few months.

In many developed economies, $25 might not big a significant amount. But in my country (Nigeria), that is the monthly salary of some workers in the informal sector. So putting it in contest, a full-month salary of some people is just enough to get 25kg of local rice.

I wonder if the way foodstuffs and other commodities hike in price in here is the same elsewhere. To make matters worse, money is not easy to come by, and jobs are not readily available. So the struggling economy makes it harder for the masses to cope with rising food costs.

Fuel price not helping matters

Maybe you would think its only foodstuffs that have witnessed significant price hike here. No no no. Premium motor spirit (locally called fuel) is the main culprit in the incessant and sudden hike in prices of commodities. Right now, 1 litre of fuel is sold for NGN950 ($0.59). Few months back, it was sold for NGN500 ($0.3). Two years ago, 1 litre of fuel was just NGN200.

Again compared to other places, this current price of fuel might be high. But then, my country is a big exporter of petroleum. Thus it should cost less. Besides, the economy is not too great, making it tough for majority of people to survive on their small incomes. So the high cost of fuel in the country makes it a tough situation for individuals and businesses as every thing sold in the market now cost higher than before.

The implication of fuel price hike is that every other commodity continued to increase in price because of the cost of transportation. Take for example its effect on the price of food. Some of the foodstuffs consumed in the country are cultivated by farmers mostly in the north. So by the time they bear the high cost of transporting these food items down to the south, the prices go up. The same is true of any other goods that are moved down the roads to the market. Transporters are charging high fees because they buy fuel at a high price.

As food prices soar, so does the problems it creates. With a struggling economy, large families might really find it difficult to put food on the table if their income is not good enough. Food insecurity might spread. A situation where people are not sure of where the next meal might come from is really a sorry one. So while those in authority should look into the situation, I think everyone here needs to do something about food price inflation.

Work harder, grow your own food

To cope, I recommend that friends here should increase their hustle. In essence, work harder to ensure you earn more each day or month. If possible, why not look into side gigs. Any extra income earned would go a long way not just in buying food, but in coping with the high price of other commodities in the market.

Another recommendation for those that have the space and time is to grow some of your own food. Maybe a small garden of vegetables and other crops. This will reduce the amount of foodstuffs bought in the market. And having your fresh foodstuffs from your far is healthier too besides the cost.

Whatever you could do to help your financial situation should be done. The way it has been over the years, price hike of food and other items continue unabated. I would know when and if the government would do anything about the situation. So help yourself to it.

To you my reader, share your thoughts. Is food price inflation also happening in your area? Are you paying more for less?

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