Let me be clear from the outset: I am not a politician. I do not belong to any political party, nor do I seek political office. My only concern—and the lens through which I view public issues—is as an academic and researcher committed to Nigeria’s development. My commentary is driven by data, facts, and the need for pragmatic policies that respond to the everyday suffering of Nigerians.

Right now, hunger is ravaging this country. While many among the elite are also groaning under the weight of soaring prices, the pressure is far worse for millions of Nigerians already living below the poverty line. Every trip to the market tells a painful story: food prices have reached historic highs, while income levels remain stagnant or declining. This cannot continue. The time for academic detachment has passed. The government must act—and act now—by implementing strategic subsidies to bring down food costs.

Nigeria’s Hunger Crisis: Beyond Mere Observation

The lived reality of Nigerians today is bleak. Food inflation is pushing families into deeper poverty, social pressure is mounting, and many urban and rural households are experiencing acute food insecurity. It’s not just anecdotal—every economic indicator confirms this national emergency.

One of the central drivers of this hardship is the dramatic rise in food prices, which is itself largely tied to rising transportation costs. Following the removal of fuel subsidies in June 2023, transport expenses across Nigeria skyrocketed. Since diesel and petrol power the logistics that move food from farms to markets, their inflated prices have automatically worsened food affordability. The poor, who spend a significant percentage of their income on food, are now cornered in a daily struggle for survival.

Global Examples Prove Subsidies Are Not a Sin

There is a false economic narrative that subsidies are inherently bad, especially in developing countries. This is both inaccurate and intellectually dishonest. Some of the world’s richest and most free-market economies actively subsidise vital sectors. Let’s look at a few examples.

European Union (EU)

The EU’s Common Agricultural Policy (CAP) allocates about €387 billion for 2021–2027 to support food security, farmer incomes, and market stability. It includes direct payments to farmers and market interventions to stabilise prices. These policies ensure food affordability while promoting sustainability.

United States

America allocates approximately $16.5 billion annually to its agricultural subsidies. These come in the form of price supports, insurance subsidies, and direct payments to farmers. The US also subsidises energy, transportation, and renewable innovation to maintain economic stability and competitiveness.

Japan

Japan is among the world’s top providers of agricultural subsidies, covering nearly half the value of its total farm production. These supports are central to Japan’s strategy to stabilise food prices and support rural livelihoods.

United Kingdom

The UK subsidises transportation and electricity to keep travel and energy affordable for citizens. Public transport, railways, and renewable energy projects receive government support in line with social equity and climate goals.

The conclusion is simple: if the wealthiest capitalist economies support their citizens with well-structured subsidies, there is no justification for removing subsidies in a country like Nigeria, where poverty is more pervasive and markets are less efficient.

Why Nigeria Must Rethink Its Anti-Subsidy Orthodoxy

Nigeria has often been told that subsidies are inefficient and unsustainable. Yet, what has replaced them? Citizens are expected to “tighten their belts” in the face of hardship while political elites loosen theirs with inflated budgets and questionable spending.

The truth is that subsidies are not the problem—poorly designed and corruptly implemented subsidies are. What Nigeria needs is not blanket subsidy removal but targeted subsidies that directly impact the cost of living for the average citizen, especially food costs.

A Strategic Food Subsidy Plan: What Can Be Done?

Let us be pragmatic. Here’s a framework for implementing a targeted food transportation subsidy to bring down food costs in Nigeria:

1. Identify Core Food Commodities

Select 10 essential food items widely consumed across Nigeria (e.g., rice, maize, beans, yam, tomatoes, onions, vegetable oil, garri, meat, and pepper).

2. Partner with Market Associations

Each of these commodities already has existing trader and transporter associations in urban and rural markets. The government should work closely with these organisations to trace supply chains and identify key sourcing and distribution points.

3. Subsidise Transportation Costs

Implement a subsidy programme to offset the increased cost of transporting food—calculated based on the jump in fuel prices since the June 2023 subsidy removal. For example, if transporting 50 bags of rice from Kebbi to Lagos cost ₦100,000 before, and now costs ₦250,000, the government can subsidise the ₦150,000 differential.

4. Monitor Through Local Structures

Use local cooperatives and state-level agricultural agencies to ensure accountability. Create a transparent digital voucher system, track deliveries, and implement whistleblower protections to curb abuse.

5. Fund the Programme Transparently

Use funds from the gains of subsidy removal (which state and federal governments have already received), complemented by contributions from state governments, many of which have seen increased allocations since 2023. This funding structure will enhance buy-in and accountability at all levels.

Likely Impacts of This Policy

If implemented effectively, this initiative could:

• Halve food prices for key commodities within a few months.

• Significantly reduce inflation, since food accounts for the largest component of Nigeria’s inflation basket.

• Ease social tensions and reduce poverty-driven insecurity across Nigeria.

• Boost economic activity, especially in rural areas, by stabilising market prices.

Anticipating and Preventing Abuse

Some may argue that this plan will be vulnerable to corruption and mismanagement. However, working with existing trader associations, which are deeply embedded in local economies, offers a lower-risk pathway. These groups have reputations to protect and understand the importance of stable pricing to maintain consumer trust.

Energy and Climate: The Solar Opportunity

Subsidies should not end with food. As Nigeria commits to international climate agreements such as the Paris Agreement, there is also a need to support households in adopting solar energy. This can be done in two ways:

1. Household Solar Subsidy Programme

Provide Nigerians with solar kits sourced from local manufacturers, with a repayment plan over 1–3 years. This will reduce energy poverty and stimulate domestic production.

2. Local Solar Manufacturing Support

Offer incentives to Nigerian companies producing solar panels and batteries to expand production. This could be through tax reliefs, infrastructure support, or direct R&D funding.

These renewable energy subsidies can help Nigerians gradually transition away from diesel and petrol dependence, aligning with global energy goals while improving local resilience.

A Call to Action: Time to Act for the People

Nigeria cannot afford to treat subsidies as economic blasphemy while its citizens are pushed to the edge. Hunger, poverty, and insecurity are not academic concepts—they are real, daily tragedies.

The country must learn from advanced economies, not mimic them blindly. The same capitalist systems that critics often idolise have strong social safety nets. Nigeria must adapt these models to its local realities using smart subsidies that directly alleviate suffering.

In this national emergency, leadership means choosing people over ideology, compassion over dogma, and action over apathy.

Final Word: A Patriotic Service to the Nation

Subsidising food transport and supporting clean energy adoption are not acts of charity. They are patriotic economic decisions. They stabilise markets, support livelihoods, and build national cohesion.

Let us not treat Nigerian citizens as guinea pigs for failed experiments in austerity. Let us honour their resilience by helping them survive—and ultimately thrive—in a nation that genuinely cares.

The choice is clear. The time is now.