Business

Lagos Food Market Sees Mixed Price Changes in May 2025

The Lagos food market exhibited a varied performance in May 2025, with certain staple food items experiencing notable price reductions while others recorded sharp increases. These contrasting movements reflect a combination of seasonal supply changes, structural constraints, and broader economic pressures affecting the availability and cost of food commodities.

Significant Price Drops in Key Staple Foods

Among the notable declines, a 50kg bag of local parboiled rice saw a significant 12.96% price drop, falling from an average of N61,550 in April to N53,570 in May. This decrease provides some relief to consumers amid ongoing inflationary pressures.

Similarly, smaller but meaningful price reductions were observed in other staples: a 5kg pack of Semolina and a kilogram of frozen horse mackerel (Kote) both recorded modest decreases, easing the financial burden on households struggling with shrinking purchasing power.

Market Reactions: Traders and Consumers Navigate Uncertainty

Market players, including both sellers and buyers, continue to respond to fluctuating costs, particularly those linked to transportation. Rising fuel prices, especially for diesel, remain a critical factor affecting the movement and cost of food supplies into Lagos. Traders voiced concerns over unpredictable diesel costs and poor road conditions, which complicate supply timelines, especially from northern regions where many food items originate.

Consumers at major markets like Oyingbo, Mile 12, Mushin, and Daleko shared mixed feelings. While some welcomed the slight price drops as a welcome reprieve, many emphasized that overall prices remain uncomfortably high compared to previous years. For example, one shopper noted that even though rice prices decreased, the rising costs of other essentials negate much of the benefit.

Voices from the Market

“Even when the price of rice goes down, it doesn’t make much difference because everything else is climbing,” lamented a shopper at Oyingbo Market.
Mrs. Adeyemi, a trader and mother of four, expressed cautious optimism: “This reduction helps, but it’s not enough. Prices are still too high compared to last year.”
A Daleko Market shopper commented on the volatility: “We need consistency. Today it drops, tomorrow it goes back up.”
At Mile 12 Market, Mrs. Adeola observed, “Last month, N5,000 could hardly get me much. Now, I can buy rice and garri and still have change. Things are improving slightly.”
Chuks, a food vendor in Mushin, noted, “Yes, tomatoes are a bit cheaper now, but you never know what next week will bring. Prices keep jumping up and down.”

Market Analysts Highlight Causes Behind Price Movements

Experts attribute the recent easing in prices to improved regional harvests, a reduction in hoarding activities, and a temporary stabilization of fuel and logistics costs. However, they caution that the market remains susceptible to seasonal fluctuations and macroeconomic challenges such as inflation and infrastructure bottlenecks.

Food Items with Notable Price Declines in May 2025

Local Parboiled Rice (50kg bag): Price dropped 12.96% from N61,750 to N53,750.
Frozen Horse Mackerel (Kote fish, per kg): Fell by 14.29%, now N6,000 from N7,000, driven by increased imports and better cold chain logistics.
Semovita (5kg pack): Declined 7.75% to N8,625 from N9,350.
Yellow Maize (50kg bag): Reduced by 9.33%, priced at N68,000 down from N75,000.
White Garri (50kg bag): Dropped 5%, now N38,000 from N40,000.

Food Items Recording Price Increases Amid Seasonal Scarcity

While some staples eased, several food products experienced sharp price hikes:

Pepper: Rose 28.57%, with a big bag increasing from N140,000 to N180,000.
Tomatoes (round basket): Climbed 30.67% to N58,500 from N44,750, attributed to off-season shortages.
Frozen Poultry: A carton of chicken laps increased 15.38% to N60,000; turkey cartons rose 8.76% to N90,000.
Local Palm Oil (25 litres): Surged 23.23% month-on-month to N61,000 due to rising demand and supply challenges.
Brown Beans (50kg): Increased 13.89% to N82,000.
Sweet Potatoes (basket): Went up 10.50%, averaging N50,000.

National Food Inflation Update: April 2025

The National Bureau of Statistics (NBS) reported that food inflation stood at 21.26% year-on-year in April 2025. This represented a significant decrease from 40.53% in April 2024 and a slight drop from 21.79% recorded in March 2025. On a monthly basis, food inflation eased marginally to 2.06% in April from 2.18% in March.

This decline is largely due to the rebasing effect from methodological changes at the start of the year, as well as price reductions in key staples such as maize flour, wheat grain, yam flour, and beans. Notably, this marks the second consecutive month of easing food inflation, hinting at gradual relief for consumers.

Lagos State Food Inflation Report: April 2025

Lagos State also saw a moderation in food inflation in April 2025, with a year-on-year rate of 22.74%, down from 24.20% in March. Month-on-month inflation stood at 5.13%, showing a slight decrease from the previous month.

The Nairametrics Food Price Survey confirmed this trend, noting gradual declines in major food prices across the state’s prominent markets since February 2025, with some fluctuations in March and April.