- The prices of some basic food items in markets across the country have soared amidst Christmas and New Year celebrations
- Findings by NAIJ.com at Iju Ishaga market, Agege, Lagos, showed a slight increase in the price of rice, beans, yam, ogbono, egusi and a fluctuation in the price of perishable goods
- At the market, traders lament low sales and a reduction in the purchasing power of buyers despite the availability of the items
As the yuletide celebration approaches, prices of goods in major markets across the country have soared.
The economic situation and the fluctuation in the value of the exchange rate have been identified by traders as some of the reasons for the tough times Nigerians have been exposed to in recent weeks. Families can no longer feed well or afford the items they need for daily survival in the market.
Business activities at Iju Ishaga market, Agege, Lagos. Source: Esther Odili
Findings by NAIJ.com at Iju Ishaga market, Agege, Lagos, reveals the increment in the price of rice, beans, yam, ogbono, egusi and a fluctuation in the price of perishable goods.
Traders at the market informed that the prices of staple foods have increased astronomically resulting in low patronage.
The prices of goods during Christmas are expected to go up in the second week of December as demand for these products rises, a trader identified simply as Iya Toyin explained to our correspondent how consumers shop during Christmas.
“It is the law of supply and demand. Once the demand increases and the supply remain constant, price naturally increases. Right now, people are expected to troop into the market to buy their gifts and other goods. Some prefer to do their Christmas shopping in the first two weeks of December while salary earners will wait until the third week, before Christmas.
It is no longer business as usual as the market is void of festivity rush. Source: Esther Odili
“The difference this year is the notable increase in demand for substitute products. Because of the hard times, people may opt to buy foodstuff items instead of cloth or other products in the market. Definitely, we will see wiser spending. Consumers will be more selective this season.”
Prices of goods tend to rise and fall depending on market conditions during the festive season. When economic conditions are good, demand will go up forcing prices up, when economic conditions are bad, demand would drop forcing prices down.
Some traders who spoke with our correspondent ascribed the hike in transportation, lingering fuel scarcity and the cost of purchase, as reasons for the increase in the prices of goods.
A trader identified simply as Ernest, who sells foodstuff items like egusi, rice, beans, ogbono and crayfish in the market, described the increase in the price of beans as alarming; adding that the ongoing insurgency in the north affected the farmers to a large extent and this has led to inflated price of goods.
“A bag of rice (Aroso) cost N15,000 while rice (Agric) cost N14,000 or N14,500 as against their old price of N13,000 and N12,500. Meanwhile, the price of beans according to him has not been stable and the price ranges from N23,000 upwards. For a small bag of beans (Oloyin), cost N22,500, for a big bag of beans (Olotu) cost N45,000 and above and for beans (Oloone), it can purchase N35,000. A bag of garri (yellow) cost N7,000 and a bag of garri (white) cost N7,500.
Inflating price of foodstuff items affects the level of patronage at Iju Ishaga market, Agege, Lagos. Source: Esther Odili.
“The price of beans is influenced by the market, the cost of purchase and the traders’ decision. The crisis in the northern part of the country has affected farmers greatly. Fuel scarcity, weather condition and cost of transport from the farm to the market location are factors to be considered as well.
“Crayfish is very expensive now. The big nylon that cost N26,000 before have risen to N33,000 now; the truth is, it will still go higher. Egusi (machine) cost N45,000 while egusi (hand peel) cost N55,000. The price of ogbono is stable, it keeps fluctuating. Before it cost N60,000 but now it has risen to N75,000. We are only managing in this trying time because of our existing ` customers, because we cannot afford to lose them,” Ernest explained to our correspondent.
Price of crayfish soar at Iju Ishaga market, Agege, Lagos. Source: Esther Odili.
At the market, a further report by our correspondent reveals that the rise in the cost of commodities like tomato, pepper, and onions, frozen fish, livestock, chicken, and turkey is caused by the increase in demand for the items and the high cost of transportation during festive periods.
A seller identified as Mama Basirat owner of MAMA B store, reveals that the cost of livestock’s like chicken, guinea fowl, turkey only increased a little and the sales so far have been encouraging; adding that most people prefer the live chicken to the frozen ones.
“We thank God for the sales so far. The reason why people patronize us is the affordability of our live feeds. Although the economic situation has affected all sectors in the country, yet people need to eat healthy this period after working for a whole year, they need to enjoy this festive celebration with a good meal. The only issue is that the prices of goods increased a bit and the income reduced.
Traders at Iju Ishaga market, Agege, Lagos, lament high cost of purchase of goods. Source: Esther Odili.
“The different types of feeds determine the price. The cheaper ones are the artificial reared feeds while the expensive ones are the locally reared feeds. The local feeds presently can be purchased from N4,000 while the artificial ones can be purchased from N3,000. People prefer the local feeds because it tastes good in meals. Sales have been encouraging so far and we are grateful to God but our greatest challenge is the hike in transportation fare.”
Similarly, a basket of tomatoes, which previously sold for N8, 000 now goes for N12, 000 while a bag of red pepper (tatashe) now cost N9,000 compared to its previous price of N7, 000 a basket. A big bag of chili pepper (Rodo) increased from N10, 000 to N16, 000 and a jute bag of onions, which sold for between N19,000 and N22,000 before, now goes for N28, 000 to N35,000. The price of these goods depends on its freshness and the market situation. now sells at between N28, 000 and N35, 000.
Perishable items fluctuate at Iju Ishaga market, Agege, Lagos. Source: Esther Odili.
A 25-litre of vegetable oil, which previously sold for N11, 500, now cost N12, 000, palm oil increased from N11,300 to N13, 000.
Speaking on the reason for the rise in prices, Mrs. Nnenna, a trader who sells frozen fish, chicken, and turkey, said: “The economic situation of the country has forced the prices of goods to keep fluctuating. At a certain time, it will rise and at other times it will fall. Now, we all know the custom of Nigerian goods that their prices increase during the festive period. Right now, a carton of turkey cost N13,000 while a carton of chicken cost 11,000 while other types of chicken can be purchased for N9,500.
“We still know that the prices of goods will be higher due to excess demand and for those who love to shop three days before Christmas. And presently, some goods are affordable but traders are experiencing low sales as only the presence of few buyers are seen despite the celebration mood.”
Also, at the market, it was observed that the price of yam increased by 10% lately. Five tubers of yam (small) that was sold for N2,000 before is now sold for N3,500, while five tubers of yam (big) that was sold from N4,000 before is now sold for N5,500 and above depending on the market situation during purchase. Sellers informed that the product is available but the current economic situation, fuel scarcity, hike in transportation fare and poor market condition led to the increment.
Despite the reduction in the price of goods, business activities looks dry at Iju Ishaga market, Agege, Lagos. Source: Esther Odili.
Mama Ify, a trader who sells vegetable-oil in the market has a different view to the rise in the price of goods in the market.
In her words, the rise in the price of goods is expected during festive periods and cost of purchase is another major factor.
She said: “It is like a lifestyle in Nigerian markets that during festive periods, prices of goods rise. And this year, it is not only the prices of goods that have risen but the cost of living as well. Buyers’ lament of low income and this has affected their purchasing power leading to low patronage at our end.
“The price of vegetable oil and even palm-oil has increased. The ones that are not branded are affordable while the ones that are branded soar on a daily basis. 25-litre of groundnut-oil (kings) cost N12, 500 but before it cost N11,000. The reason for the rise of oil cannot be explained as palm-oil continues to increase by the day. Before 25-litre of palm-oil cost 11,300 but now in the market here, it cost N13,000. It just rose up to this amount recently.”
Tomato paste, food condiments and spices have become relatively low at Iju Ishaga market, Agege, Lagos. Source: Esther Odili
“Palm-Oil is more expensive than groundnut-oil, and the cost of purchase is higher now. We call on the government to please assist us in reducing the cost price of goods; it is really hard for us as traders to purchase the goods we sell. There are no other means of livelihood apart from our businesses. The market is dry. People are not buying as usual because they do not have enough money to spend.”
At the same market, some shoppers dashed from one shop to the other in search of where to get affordable items like the Christmas trees, hats, gift items, hampers, and souvenirs.
“For hampers, the content determines the price; the bigger the content, the higher the price. A big Christmas hamper cost about N15,000 while the small one cost about N10,000 downwards. For Christmas tree, the price is influenced by the height of the tree, the size, and the design. You can get small Christmas trees from N12,000 and the big trees range from N15,000 and above. For the Christmas hats, it depends on the design and the quality of materials used. Quality Christmas hats can be purchased from N2,500 upwards while the fewer quality ones can be purchased from N1,500 downwards.
Christmas hamper, trees and accessories on display at Iju Ishaga market, Agege, Lagos. Source: Esther Odili.
“The hampers and other items on display are really not attracting sales as expected during festive periods because of the price tag on them. The Christmas tree, hats, and flowers are only being purchased by some churches and few offices who are our clients over the years not leaving out our regular customers too. Some shoppers come and do window shopping while others go from one shop to another looking for a reasonable price of the items,” Mrs. Becky, a trader who sells hampers and other Christmas items informed our correspondent.
Mrs. Okoroafor, a trader who sells children clothes, shoes and bag at the market, confesses that business is not booming as usual.
“Market is very dull, even as we sell our goods at affordable prices. We are experiencing low customers’ turnout. As I speak, only our loyal and regular customers, who know the quality of what we sell and can still afford it, are the ones patronizing us. Often times, people come in and haggle over the price of children’s wears and walk away thereafter once it falls out of their budget line. Almost everyone is complaining of lack of money, high prices and the rest, whereas in truth, the prices have really not gone that high.
“The prices of shoes for girls’ range from N2, 500 to N6, 000; depending on the design, the brand, and type. For their dresses, it can be purchased from N3,500 to N8,000 depending on the style, the materials used, the size and the design of the dress. You can get gowns for a higher price and some at a lower price.
Affordable second-hand goods at Iju Ishaga market, Agege, Lagos. Source: Esther Odili.
“For boys, you can get jeans, chinos trousers, and shirts that go for N4, 500 depending on the brand, while T-shirts of low quality are sold for N1, 500 and the ones of high quality can be purchased from N3,000 upwards. This is some of the clothes are bought from countries like UK, U.S.A, London use and so on, known for quality wares. And with the rise in the exchange rate is high, they become more expensive.”
Nwobodo, a businessman who sells second-hand shoes, slippers, and sandals for ladies, expressed satisfaction with the level of sales thus far.
“Business is not booming to an extent but we still record profit. Sales have been quite encouraging because I had to cut down the price of my goods, for a reasonable bargain and this has attracted patronage. Ladies do not only shop for shoes, they shop for shoes, sandals and even slippers. Notwithstanding, I hope to make better sales before the year runs out.”
It was gathered that the increase in transportation fares during yuletide has become a major challenge to traders, commuters and travelers especially now that the country is experiencing a recess in the economy.
Some who spoke to NAIJ.com correspondent lamented that about 15% has been added to transport fare of all route.
A bus driver referred to as Oga Dapo informed that the celebration has led to the increment in transport fare. Not leaving out the that usually takes place every year especially during this period.
The lingering fuel scarcity has led to hike in transportation fare. Source: Esther Odili.
He said: “The cost of transportation is high due to the festive celebration which is a usual trend in Nigeria. A lot of people would love to spend their holiday with families, friends and loved ones who reside in other states thus they travel. So, we have more passengers this period in every market, who shop for a lot of items needed for their trip, this also affects the cost of transportation.
“But the current economic situation coupled with this fuel scarcity is affecting even the bus drivers, making the transport fare to rise. And every route in Lagos added about N100 to N200 increment, the government should find a solution to annual fare hike and fuel scarcities, to enable motorists to provide effective and efficient service to the traders, commuters and as well travelers during the festive season.”
Business owners, who stocked up their shops earlier this month, in anticipation of a sales boom, are already feeling the paucity of funds by buyers’ owing to lack of money in circulation that has led to low patronage.
Market Survey: Traders reveal real reasons for hike in price of goods via NAIJ.com TV
Source: Naija.ng
ROSY CREST
Saturday, 23 December 2017