The price of food commodities rose significantly last week as sorghum and paddy rice recorded double-digit increments.
Sorghum, which is the largest staple cereal crop in Nigeria, went from ₦500 to ₦580 by the end of the period, an increase of 16%. This surge balances out the drop in price that the commodity experienced at the start of April 2025.
The crop is economically significant to farmers as it accounts for about 50% of the total cereal output and occupies roughly 45% of the land used for cereal production. It is a crucial source of food, especially in the drier northern regions.
Paddy rice rose by 13.20% last week. Its production is the primary stage of a multi-billion naira industry in Nigeria, making changes in its price significant. It is also one of the most consumed staple foods in Nigeria, present in almost every household and accounting for a significant portion of household food expenditure.
Cocoa price continued its ceiling approach after a humble start to April 2025. Since the month began, it has appreciated by 14%, going from ₦10,500 to more than ₦11,200.
Raw cashew and soybean prices fell last week by 3.30% and 3.67%, respectively. The price of maize also fell by 1.82%, and its steady decline in the past three weeks means that it is cheaper than at the start of the month.
These raw commodities are important to the local economy and international markets. Their changing costs determine food prices in the country and export earnings for domestic agribusinesses.
According to the World Bank, Nigeria’s food inflation change has continued to fall in the past three consecutive months of 2025 (up to March). Although it explains that this is largely due to rebasing the consumer price index (CPI), these essential agricultural goods prices also play a part.
Food is a major component of the CPI; rising food prices drive general inflation up, especially in countries where food accounts for over 50% of household expenses.
When these prices rise due to supply chain issues, poor harvests, fuel costs, or currency depreciation, it becomes more expensive to produce processed or packaged food.
Food processors and retailers often pass higher raw material costs to consumers through higher shelf prices.
