NIGERIANS are currently facing surging increase in food prices in the market, despite the November drop in inflation findings have shown.
The National Bureau of Statistics, NBS, on Wednesday announced that the annual inflation rate dropped for the seventh consecutive month to 15.4 per cent in November from 15.99 per cent in October.
This represents a 2.77 percentage point decline since March when the inflation rate peaked at 18.17 per cent.
The NBS disclosed this in its Consumer Price Index report for November 2021.
This drop is yet reflect in food prices, the main driver of inflation
as survey checks showed prices still not experiencing downward trend.
Reacting to the development, Oluchi Mgbemena a restaurant owner told THE ICIR that prices of goods are still not affordable, stressing how she struggles to buy food stuffs for her trade.
“The kilo of beef meat that we used to buy one kilo for N2000, not it is N3000. Customers are complaining, we work so hard to recover our cost, so we can still be in business. Not just the meat, but virtually in everything.I don’t even use gas again. I now use charcoal. One bag is N3500, but 12kg of gas is almost N10 000.
Also, further checks showed Beans, maize, and oil prices increased the most.
In particular, the price of beans grew by over 60 percent compared to the previous year, while the price of palm oil added up to 40 percent more.
Among all selected food products, non of the selected foods recorded a decrease in price . In fact, Nigeria is among the countries with the highest inflation rate in the world and recorded a fast growing CPI, according to Statista.
Also, record from the National Bureau of Statistics showed that cost of food in Nigeria which is the main drive of inflation increased 17.21 percent in November of 2021 over the same month in the previous year.
Meanwhile, the World Bank in a recent report observed that the drivers of Nigeria’s inflation rate are unique to the nation alone as it differs from what is experienced in other parts of the world.
Its latest report also claimed higher inflation could send about 5.6 million Nigerians into poverty.
“Admittedly, higher inflation reduces purchasing power, translating into higher levels of poverty and, ultimately, insecurity. The IMF estimates that between 2020 and 2021, high inflation may drive 5.6 million Nigerians into poverty.”the bank said in its latest publication with the title, ‘Covid-19 in Nigeria :Front line Data and pathways for Policy.
Meanwhile the NBS report states that, “Consumer price index, (CPI) which measures inflation increased by 15.40 percent (year-on-year) in November 2021. This is 0.51 per cent points higher than the rate recorded in November 2020 (14.89) percent. Increases were recorded in all COICOP divisions that yielded the Headline index.
“On a month-on-month basis, the Headline index increased by 1.08 per cent in November 2021, this is 0.10 percent rate higher than the rate recorded in October 2021 (0.98) per cent.
“The percentage change in the average composite CPI for the twelve months period ending November 2021 over the average of the CPI for the previous twelve months period was 16.98 percent, showing 0.02 percent point from 16.96 percent recorded in October 2021.
“The urban inflation rate increased by 15.92 per cent (year-on-year) in November 2021 from 15.47 percent recorded in November 2020, while the rural inflation rate increased by 14.89 percent in November 2021 from 14.33 per cent in November 2020.
“On a month-on-month basis, the urban index rose by 1.12 per cent in November 2021, up by 0.10 the rate recorded in October 2021 (1.02) percent, while the rural index also rose by 1.04 percent in November 2021, up by 0.09 the rate that was recorded in October 2021 (0.95) percent.
“The corresponding twelve-month year-on-year average percentage change for the urban index is 17.55 per cent in November 2021.
“This is higher than 17.53 per cent reported in October 2021, while the corresponding rural inflation rate in November 2021 is 16.42 percent compared to 16.39 percent recorded in October 2021.”