Abuja, 19 States Face Over 40% Food Inflation Rate As Christmas Nears

As Christmas approaches, food inflation in Nigeria continues to rise sharply, with the latest Consumer Price Index (CPI) report from the National Bureau of Statistics (NBS) showing that Abuja and 19 states recorded food inflation rates above 40% in November 2024.

The report highlights significant increases in food prices across several states, further aggravating the cost-of-living crisis for millions of Nigerians.

According to the latest NBS report, food inflation has seen a sharp rise, reaching 39.93% in November 2024, up from 32.84% in the same period last year.

Prices for staple foods such as yam, rice, maize, and palm oil have surged, contributing to the increase in food inflation. Other items such as guinea corn, millet, and meat have also seen notable price hikes.

On a month-on-month basis, food inflation rose by 2.98%, slightly up from 2.94% in October. This increase is attributed to higher prices for items such as fish, rice, dairy products, and meat. The twelve-month average food inflation rate for the period ending November 2024 stands at 38.67%, marking an 11.58%-point rise from the previous year’s 27.09%.

Across these states, food remains the dominant inflation driver, particularly in Sokoto, Yobe, and Kebbi. Rising transportation costs, insecurity, and supply chain disruptions continue to exacerbate Nigeria’s inflation crisis, leaving households vulnerable.

What the data says

• In addition to Nigeria’s capital city (Abuja, FCT) the 19 states with food inflation rates above 40% in November 2024 are Sokoto, Yobe, Edo, Gombe, Kebbi, Abia, Zamfara, Anambra, Kano, and Oyo. Others include Plateau, Enugu, Jigawa, Niger, Borno, Kaduna, Taraba, Ebonyi, and Bauchi. These 19 states make up about 53% of the total states in Nigeria.

• Sokoto topped the list with a food inflation rate of 51.3%, though this marked a slight decrease from 52.19% recorded in October. Yobe followed closely with a sharp increase to 49.69% in November, up from 42.13% in the previous month. Edo State came in third with 47.77%, rising marginally from 46.56% in October. Other states with notable food inflation rates include Gombe, which climbed to 46.63% in November compared to 45.35% in October, and Kebbi, where food inflation surged to 46.29% from 43.34%.

• Abia State recorded a food inflation rate of 46.0% in November, increasing from 43.25% in October, while Zamfara rose to 46.01% from 41.66%. Anambra State saw its food inflation jump to 45.94%, up from 41.09%, while Kano experienced a rise to 45.34% compared to 42.47% in the previous month. Oyo State, with a notable surge, recorded 44.38% in November, up from 39.29%.

• Other states where food inflation exceeded 40% include Plateau at 43.86%, Enugu at 43.32%, and Abuja, where the food inflation rate climbed to 42.84% in November, rising from 40.05% in October. In Niger State, food inflation increased to 42.25% from 39.80%, while Kaduna rose to 41.78% from 41.14%. Taraba saw its food inflation rate rise from 38.60% to 41.44%, Ebonyi increased to 41.17% from 39.03%, and Bauchi rose to 40.48% in November, compared to 37.49% in October.

• Some states, however, recorded marginal declines in food inflation. Jigawa dropped slightly from 43.42% in October to 42.32% in November, while Borno saw a more significant decrease from 45.84% to 41.83%.

What you should know

With the festive season approaching, the rising cost of food remains a major concern for households across the country.

• The increases have been driven by a combination of supply chain disruptions, higher fuel costs, and growing demand for food items.

• Nigeria’s headline inflation rose to 34.60% in November 2024 reflecting a further surge in the costs of goods and services across the country. This shows that the headline inflation rose by 0.72% from 33.88% in October.

• On a month-on-month basis, the headline inflation rate showed a marginal slowdown, standing at 2.638% in November compared to 2.640% in October.

• While inflation remains high, this slight dip indicates a slower pace of price increases than the previous month.

• However, the year-on-year increase still highlights the ongoing pressure on consumers, with the cost of living continuing to climb.

• The rise in inflation is largely driven by food price increases, which continue to place a strain on Nigerian households.

Source:- Nairametrics