Nigeria’s rising food inflation is placing farmers under growing pressure, with increasing production costs squeezing profit margins while declining consumer purchasing power leaves significant volumes of food unsold.
The National Bureau of Statistics (NBS) reported that food inflation rose to 20.31 per cent in July, its highest level in six months, even as headline inflation moderated to 15.43 per cent.
The impact is particularly evident in the poultry sector, where thousands of crates of eggs are reportedly being wasted weekly as consumers struggle to afford prices that would allow farmers to cover their production costs.
The Chairman of the Poultry Association of Nigeria, Lagos State Chapter, Mojeed Iyiola, said farmers were being forced to reduce egg prices simply to dispose of their perishable products, leaving many to operate at a loss.
Iyiola said thousands of crates of eggs were being buried every week, adding that farmers could not simply halt production because poultry birds still required feeding to maintain egg production.
He said the situation was more challenging for farmers who obtained bank loans, as losses from unsold and spoiled eggs could affect their ability to meet repayment obligations.
The Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, Tunde Banjoko, attributed the rising pressure on farmers to increasing energy and fuel costs, expensive fertiliser, transportation expenses, insecurity, flooding and high financing costs.
Banjoko said the rising cost of farm operations was restricting farmers’ ability to meet production targets, a situation that could eventually reduce food supply and further push up prices.
Data from the NBS showed that food inflation has increased consistently in recent months, rising from 12.12 per cent in February to 14.31 per cent in March, 16.06 per cent in April, 16.96 per cent in May, 17.52 per cent in June and 20.31 per cent in July.
Headline inflation, however, recorded a comparatively slower increase, moving from 15.06 per cent in February to 15.43 per cent in July.
The July figures also showed renewed monthly pressure, with food inflation accelerating to 5.56 per cent from 3.75 per cent in June.
Banjoko and Iyiola warned that the situation could worsen without urgent measures to address the structural challenges confronting farmers.
They called for interventions to reduce energy and transportation costs, improve access to affordable fertiliser and finance, strengthen agricultural infrastructure and tackle insecurity and other production constraints.
They stressed that addressing these challenges would be crucial to protecting farmers from mounting losses while ensuring that Nigerian households have access to affordable and sufficient food.
