Nigeria’s food inflation rises to 40% in March

Nigeria’s food inflation has continued on a steady rise, reaching 40.01 per cent in March 2024 on a year-on-year basis, this is 15.56 percent higher compared to the rate recorded in March 2023 (24.45 percent) and 37.90 percent recorded in February 2024.

This is as the headline inflation rate rose to 33.2 per cent in the period under review, up from 31.70 percent in February.

According to the National Bureau of Statistics (NBS), the rise in food inflation on a year-on-year basis was caused by increases in prices of the following items garri, millet, akpu uncooked fermented (which are under the bread and cereals class), yam tuber, water yam, dried sardine fish, mudfish dried (under Fish class), palm oil, vegetable oil, beef head, liver among others.

On a month-on-month basis, the food inflation rate in March 2024 was 3.62 percent which shows a 0.17 percent decrease compared to the rate recorded in February 2024 (3.79 percent).

The average annual rate of food inflation for the twelve months ending March 2024 over the previous twelve-month average was 31.40 percent, an 8.69 percent point increase from the average annual rate of change recorded in March 2023 (22.72 percent).

The report showed that in the period under review, food inflation on a Year-on-Year basis was highest in Kogi (48.46 percent), Kwara (46.18 percent), Akwa Ibom (45.18 percent), while Nasarawa (33.76 percent), Borno (34.28 percent) and Bauchi (34.38 percent), recorded the slowest rise in Food inflation.

On a Month-on-Month basis, however, March 2024 Food inflation was highest in Abia (5.17 percent), Cross River (5.14 percent), Bayelsa (4.75 percent), while Borno (1.59 percent), Yobe (2.08 percent) and Adamawa (2.12 percent recorded the slowest rise in Food inflation on a month-on-month basis.

Also, the core inflation (All items less farm produce and energy) which excludes the prices of volatile agricultural produce and energy stood at 25.90 percent in March 2024.

The highest increases were recorded in prices of bus journeys within the city, actual and imputed rentals for housing, consultation fees of medical doctors, pharmaceutical products, etc.

“On a month-on-month basis, the core inflation rate was 2.54 percent in March 2024, up from 2.17 percent recorded in February 2024. The average twelve-month annual inflation rate was 22.26 percent for the twelve months ending March 2024; this was 5.04 percent points higher than the 17.22 percent recorded in March 2023.

“In March 2024, All Items inflation rate on a Year-on-Year basis was highest in Kogi (39.97 percent), Bauchi (38.34 percent), Kwara (38.10 percent), and Oyo (37.29percent), while Borno (25.78 percent), Benue/Taraba (28.12 percent) and Katsina (28.32 percent) recorded the slowest rise in headline inflation.

“On a month-on-month basis, however, March 2024 recorded the highest increases in Zamfara (3.90 percent), Abia (3.89 percent), Ondo (3.75 percent), while Borno (1.46 percent), Yobe (1.84 percent) and Adamawa (1.85 percent) recorded the slowest rise,” it stated.