Nigeria receives over 688,000MT of wheat to alleviate food costs amid rising inflation

NIGERIA – Nigeria has received a substantial shipment of wheat imports, totaling 688,793 metric tonnes, to alleviate food costs nationwide.

According to a document from the Nigerian Ports Authority (NPA), seven vessels carrying these supplies started arriving at four key seaports across the country on October 23, 2024, with final berthing expected by October 30.

The seaports receiving these shipments are Apapa and Tincan ports in Lagos, Calabar Port in Cross Rivers State, and Rivers Port in Rivers State.

According to figures from The PUNCH, Nigeria’s imported food inflation rose by 8.97% between July and September 2024, increasing from an average price index of 806.0 in July to 878.3 in September.

Year-to-date, this represents a 21.14% rise from January 2024, signaling a reliance on imported food amid domestic supply challenges.

Additionally, the Central Bank of Nigeria reported that it allocated ₦1.73 trillion (US$$2.15 billion) for food imports during the first two quarters of 2024, underscoring Nigeria’s need for substantial foreign food products to offset local shortages.

As for the wheat consignments, the NPA document detailed the arrival schedule: the first two vessels, carrying 44,946 metric tonnes, arrived at Rivers Port on October 23.

The following day, another 18,800 metric tonnes of wheat reached Calabar Port. On October 26, a vessel with a 37,450-metric-tonne capacity was scheduled to dock at Lagos’ Tincan Port, with additional shipments arriving at the Apapa port shortly afterward.

These ports are among the busiest in Nigeria, and the arrival of bulk wheat at these locations marks a notable event in the government’s efforts to ease food inflation, though the role of the federal government in this particular import operation remains unclear.

According to sources, efforts to confirm government involvement in these wheat shipments, however, were unsuccessful, as neither the Federal Ministries of Agriculture and Finance nor the Nigerian Customs Service responded to multiple inquiries.

This is despite that, in July 2024, the government introduced a 150-day duty-free import window for key food commodities, including wheat, maize, husked brown rice, and cowpeas.

This initiative aimed to reduce food inflation and cushion the economic effects of food scarcity in Nigeria, promising reduced import duties and a lowered value-added tax on imports to stimulate food availability and drive down consumer costs.

However, despite these measures, the programme has faced obstacles. Bureaucratic delays and the Ministry of Finance’s failure to publish a list of qualified importers have hindered the initiative’s effectiveness.

This has led to limited success in meeting its initial objectives, leaving consumers with continued high food prices and import inflation.

Speaking on October 1, 2024, Finance Minister Wale Edun highlighted the government’s temporary importation measure for wheat and corn to mitigate short-term food shortages, stating that these imports would not impact local production adversely.

“In the meantime, there is a short-term measure to import food,” Edun noted. “The government has already ordered procured maize and wheat which is on its way.”

While intended to stabilize food costs, recent data indicates that the policy has not yet succeeded in this goal.

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