Nigeria slashes rice prices to ease living conditions

NIGERIA – The Federal Government of Nigeria, through the Minister of Information and National Orientation, Mohammed Idris, has announced that a 50kg bag of rice will now be available at designated centers across the country for N40,000 (US$52), a measure to make staple food more affordable.

He noted that rice is being sold at approximately 50% of its usual cost, with the 50kg bags now available at the new price of N40,000. This effort is part of a larger strategy to provide support to the poorest members of society.

Idris made the announcement during a briefing on the outcomes of the Federal Executive Council (FEC) meeting, which President Bola Tinubu chaired at the State House in Abuja.

He highlighted that this initiative, along with others, is aimed at improving living conditions amid ongoing national discussions about economic hardships.

Rice is Nigeria’s second most consumed cereal after corn. The country, which produces around 70% of its consumption, imported more than US$2.3 billion worth of rice in 2022 to meet its needs, according to data compiled on the Trade Map platform.

Early this year, data from the National Bureau of Statistics (NBS) indicated that the average price per kilogram of local rice sold in bulk reached approximately 1,022 naira (US$0.65) during March, double the rate a year ago.

This sharp increase in rice prices on the local market is part of an economic context marked by the rise in annual inflation, which reached 29.9% in January 2024, its highest level in 28 years. 

Idris detailed recent government efforts, including the distribution of 740 trucks of grains to various states.

The Minister also expressed optimism about future reductions in food prices, attributing potential decreases to the ongoing rainy season and increased investments in agricultural production and irrigation across the country.

Idris concluded by acknowledging that while current supplies might not meet all demands, these initiatives represent crucial steps towards addressing food security and affordability in Nigeria.

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