The average cost of preparing a pot of jollof rice for a Nigerian family of five rose more than four-fold in almost eight years largely as a result of the depreciation of the naira, according to a new Jollof Index report. This means a minimum wage earner in the country can only cook jollof once a month on their ₦30000 salary.

The report, titled ‘Crisis at the Table’, by SBM Intelligence, an Africa-focused geopolitical research and strategic communications consulting firm, shows that the cost of preparing a pot of the popular Nigerian delicacy rose by 314.9 percent to N16,955 in March 2024 from N4,087 in July 2016.

Further analysis shows that the cost increased by 29.4 percent within six months (October-March).

“The primary trigger for this increase was the naira depreciation, which moved from a monthly average of N796 to a dollar in October 2023 to a monthly average of over N1,513 in March 2024. This severely affected food affordability, particularly as the country still largely depends on food imports to meet its food demands,” the report said.

It said for example, the price of a bag of rice increased from about N56,000 in October to approximately N87,000 in the first week of March.

“These price increases occurred against unresolved long-standing issues driving food prices up, such as conflicts in food-producing regions, reduced arable land, climate variability, and increased energy costs (electricity and fuel),” the report added.

Using the Jollof Index, SBM illustrates how food prices have changed overtime. The data gathered monthly from 13 markets spread across the country’s six geopolitical zones is computed using the costs of the ingredients. It does not include December because of seasonal variations that cause price hikes.

The ingredients that make up the index are rice, groundnut oil, chicken or turkey, beef, seasoning, pepper, tomatoes, salt, and onions. While the index has treaded close to food inflation since collection began in 2016, it has provided a simple way of communicating the realities of inflation to the Nigerian public.

“The rising cost of Jollof illustrates the devastating effect that inflation is having on food consumption. Key inputs in preparing the delicacy are mostly imported and the weakened naira has made imports more expensive,” Ikemesit Effiong, partner and head of research at SBM Intelligence, said.

He added that the continuing challenges and the infrastructure deficit remain important risk items hampering crop production and that the lack of political will to effectively tackle insecurity means that Nigerians will continue to pay a hefty price to feed their families and dependants.

The SBM report also highlighted that across the 13 markets, Onitsha, Anambra state experienced the highest percentage increase at 44.9 percent, with the cost of preparing jollof rice rising from N10,280 to N14,900.

Port Harcourt and Balogun markets also witnessed significant increases of 38.5 percent and 38.4 percent respectively. The Trade Fair market in Lagos saw a 37.8 percent increase, with the cost of preparing jollof rice climbing from N12,550 to N17,300. Similarly, the Dugbe market in Ibadan experienced a 32.7 percent rise, with prices increasing from N11,770 to N15,620.

“These days, you don’t ask children if they’re satisfied with their food. The important thing is for them to have something in their stomach,” a mother of two told SBM.

Another parent noted that his children no longer take food to school. “They come home for lunch, and breakfast is no longer part of the daily routine,”

Source: Business Day