Posted on November, 14, 2022 at 10:15 am
Since October, the prices of maize, paddy, groundnut, sesame, soybeans have been on the rise consistently for weeks.
Although during harvest, the tempo of activities in grains markets across the country, particularly those in border states, increase in significant scale, this year stakeholders are worried over the turn it has taken.
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It was common before COVID-19 to see trucks loading tons of grains, and leaving the country to neighbouring countries like Niger, Chad, Mali, Algeria, Libya and Mauritania.
During harvest, other value chain actors like poultry farmers, feed producers, and household consumables stock raw materials because of availability and lower prices.
But this year, the market is hitting up and consumers are scared.
Some stakeholders opined that the current CBN’s policy on redesigning the country’s currency somehow was pushing those who stockpiled cash in their homes rather than banks to intervene in the market triggering unusual price hike.
Daily Trust on Sunday reported that the prices are soaring on daily basis.
Our correspondent in Benue State, who surveyed some local markets across the state and in Makurdi metropolis, reports that in recent times, the cost of grains has continued to rise.
For instance, at Wadata market in Makurdi, a 50kg bag of local rice now sells for between N32 and N34,000 instead of between N25,000 and N26,000 it was few months ago.
The price of paddy rice at Tor Donga and Jato Aka markets in Kastina-Ala and Kwande LGAs is between N39,000 and N40,000 respectively instead of N20,000 it was earlier sold.
A trader, Lucy Stephen, expressed worry that the prices were increasing on daily basis, noting that soon she would not be able to make purchases if the situation continues to degenerate.
While a 100kg bag of Sesame goes for between N90,000 and N95,000, a 100kg bag of maize which previously sold for N20,000 is now N30,000.
Similarly, soybean now sells for N50,000, a bag of shelled groundnut goes for between N53,000 and N54,000 while Bambara nut is N80,000.
At the Wadata market, a 100kg bag of yellow garri goes for as much as N35,000, the same size known in the local parlance as Akwa Ibom and Kano Garri sells for N25,500.
Also, a big bag of millet is between N35,000 and N36,000 presently, old millet is N36,000 while the new millet hovers around N30,000 just as a big bag of guinea corn which used to be N30,000 is now between N34,000 and N35,000.
Report from weekly Monday Market located in Kakuri community of Kaduna State also indicated that some people are mopping up bags of grains at the market.
Our reporter who visited the market around 2.30pm on Monday observed that pickups vans were sighted loaded with bags of grains, especially maize, and headed to an unknown destination.
Some of the loaders couldn’t speak on the destination of their vehicles.
One of the maize sellers and a leader in the market Zakari Yau lamented over price hike of grains within a short period.
He said “a bag of guinea corn which was sold N23,000 two weeks ago is now N25,000. Maize was N17,000 but now goes for N23,000. Millet was sold N23,000 but now N27,000.”
He said they have grains in the market but it’s expensive.
“High demand for the grains, especially maize, is what led to the rise in prices. Some people are coming to the market with huge amount of money looking for the grains at any price. They are ready to buy at any price.
“If not, how much did we sell a bag of maize two weeks ago? But today, the moment they came to the market, the next thing is to bring out huge amount of money to buy off the bags you have. This led to the increase in prices of grains,” he said.
According to him, such rush for maize is affecting the masses who are buying in small quantity for use in their houses.
Zakari said he was not happy with the way rich people are mopping up the grains because they were making life difficult for the less privilege ones in the society.
A customer, Halima Abdullahi, also lamented the hike in price, saying a mudu (measure, usually 1-2 kg) of maize now costs N350, which was not so weeks back.
She added that the recent high demand for these grains is, no doubt, responsible for the hike.
Our reporter in Kano who visited the Dawanau International grain market spoke with merchants who attributed the hike in agricultural produce to the redesigning of the naira note as huge amounts of monies were said to have been brought to the market to purchase some selected commodities.
According to Alhaji Musa Maisaje, a merchant in Dawanau, there has been serious demand for soybeans, paddy and groundnuts by some unknown businessmen who have stormed the market in the last one week.
“If you have hundred trucks of soybeans, rice paddy or groundnuts now, there are people who will buy it all and pay you upfront with no delay. We were made to believe that the rise in the demand is attributed to the move by FG to redesign the Nigerian currency,” he said.
Investigation carried out revealed that a 100kg bag of soybeans initially sold for N25,000 now sells between N30,000 and N33,000 while rice paddy which was N19,000 to N20,000 now sells between N22,000 and N23,000. A 100kg of groundnut (milled) that was N64, 000 is now N67,000.
A source at the Dawanau market also revealed that a huge sum of money has been disbursed to various merchants to go to farmers doorsteps and mop up the remains of their harvest.
Even in Taraba State where prices are usually lower, our correspondent gathered that a 100kg bag of paddy, which was sold at the rate of N14,000 to N15,000 two days ago, has gone up to between N20,000 and N21,000.
Daily Trust on Sunday also gathered that more grains dealers are now in markets across the state purchasing large quantities of paddy rice and maize, resulting in the hike of the prices of the two commodities.
A trader at Mutumbiyu grain market, Musa Rabiu, told Daily Trust on Sunday in a telephone interview that prices of maize and paddy rice are increasing every day because of high demand.
He said trailers loaded with maize leave the market on daily basis to different locations in the country, adding that though the harvest of rice and maize and other farm produce is just starting, the increase in the prices of the two farm produces is alarming.
Source: Daily Trust