News in brief:
– Nigeria’s farm produce price index rose 28.98% between January and May 2025, with the sharpest spike in May.
– Insecurity in food-producing regions like Benue State is blamed for rising costs and disrupted food supply chains.
Nigeria’s agricultural sector is facing a deepening crisis as the average cost of farm produce rose by 28.98% between January and May 2025, according to new data from the National Bureau of Statistics (NBS).
The NBS report revealed that the farm produce price index climbed from 110.5 in January to 142.53 in May, with the sharpest monthly increase recorded in May.
Steady climb, then a sudden spike
The data indicates a gradual rise in prices during the first quarter:
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February: 112.46 (1.77% increase)
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March: 115.43 (2.65% increase)
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April: 116.46 (0.88% increase)
However, between April and May, the index surged dramatically by 22.28%, marking the steepest monthly jump and pushing the overall increase to nearly 29% in five months.
Insecurity is fuelling agricultural disruption
The NBS attributed the price hikes to escalating insecurity in major food-producing regions, especially Benue State, which has witnessed widespread violence, displacement of farmers, and disruption of supply chains.
Benue, widely regarded as the “food basket of the nation,” reported a year-on-year food inflation rate of 51.8% and a 25.6% monthly increase in food prices in April 2025. The state’s overall inflation rate also increased, reaching 34.3% with a 12.8% month-on-month rise in April.
Interestingly, by May 2025, food inflation in Benue appeared to moderate, dropping from 57.53% to 22.0%. Despite this, the state still recorded a 4.1% month-on-month increase, pointing to continued supply-side challenges.
The NBS warned that while some price moderation was observed year-on-year, short-term pressures remain, as ongoing insecurity continues to cripple farming activities and distort market access across several states.
