Traders cry out for help as market condition worsens

macfranc007 September 19, 2018 Nigeria News today & Breaking news ▷ Read Naija news 24/7 Esther Odili

- The prices of goods have experienced a sharp decline few days after Buhari's return from London

- Checks by NAIJ.com at Agege market, Lagos, revealed that the prices of some food items remained stable while others continue to fluctuate

- At the market, buyers were seen purchasing goods but at a slow pace due to insufficient funds while traders cry out over low patronage

Few days after Buhari's return from London, traders have decried low patronage in markets across the state.

Findings by NAIJ.com at Agege market revealed that almost all the food items that recorded hike in prices before the festivity had now experienced a drop in their prices. The traders explained that the drop in demand for some foodstuffs was responsible for the drop in food prices.

A trader identified simply as Mrs. Aina, in a chat with our correspondent, explained the difficulties faced by traders during and after festivity.

She said: “Traders are managing. Shops are folding. The prices of goods fluctuate and it is the usual practice in Nigeria, during festivity that prices of goods rise and after festivity, prices of goods reduce. it has been difficult for us, because buying goods at an expensive rate, and selling it below the cost price affect our level of profit. I would say, market is just there, we are just trying to cope with the harsh economy in the country.”

Prices of foodstuffs in the market, particularly tomatoes, pepper and onions have reduced as observed by our correspondent.

Survey by our correspondent at the market, revealed that the hike in prices of foodstuffs in previous weeks was as a result of the festivity.

A basket of tomatoes, which was formerly sold for N15,000 and above was sold for 11,000, N8,000 and N5,000. In a similar vein, red pepper and chili pepper, which is popularly called “tatashe and rodo”, now sells for N6,000 and N10,000 as against the previous price of N9,000 of a medium sized bag and N18,000 a big bag or basket.

NAIJ.com Weekly Price Check:Traders cry out over low patronage after Sallah celebrations
Source: Original

Mallam Issa, a pepper seller told NAIJ.com that she purchased a basket of tomatoes for over N12,00 some days to Sallah, but that the same basket was now selling for N9,500.

The pepper seller said: “The higher the demand, the higher the price. The demand increased some days before the celebrations, so pepper prices went up, which is usual when there is excess demand, but after the festival, there was excess supply, which made the prices of the perishable items to fall.”

Meanwhile, the prices of foodstuff items like ogbono, egusi, crayfish and dry pepper still fluctuate before and after the celebrations.

Traders in the market stated that the high cost of foods items are not due to the season or celebration, but that the prices of the goods had risen before this period.

A trader who sells foodstuff items explained to NAIJ.com the cost of the items. According to Ifeanyi, the crisis in the northern part of the country,the economy, the worsening value of the exchange rate and the ban placed on the importation of some goods has affected sales negatively.

He said: “The economy is very bad. This is the worst sallah so far. Traders are facing hardship. Everybody is complaining. We are not making profit anymore. Before, we make up to N200,000 as profit in a month, but now, we do not make even up to N50,000. Parents are not spending at all, right now they are saving money to pay their children’s school fees.

“Egusi and crayfish keeps rising, same with ogbono. A small bag of egusi cost N90,000 and the bib bag cost N170,000. For crayfish, it is very expensive now due to the high cost of tax placed on its importation and the season. During rainy season, it is available and affordable. Dry pepper is relatively cheap, a small bag cost N28,000 while the big bag cost N44,000. For ogbono, the price keeps fluctuating. A bag of ogbono that draws well costs N130,000, but when the content is reduced, the price reduces.”

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Further checks at the market revealed that the price food items like, rice, garri, yam and some fruits have become affordable despite the season.

Some traders who spoke to NAIJ.com, informed that the price of these items was on the rise before, but has been reduced now. Adding that the festive season, weather condition and the planting period affected the price to a large extent.

Ebuka, a trader who sells food items like rice, garri, beans and wheat told NAIJ.com the difference between the cost of purchase of the food items.

Ebuka explained: “Any market you go to now and they sell these goods at an affordable rate, is not genuine. What most traders do now is to reduce the content in the bag and sell at a cheaper rate. This is due to the economic condition of the country. Traders reduce the content of the bags so as to sell their goods on time and as well attract more customers.

“Rice is coming down now, same goes for garri but that of beans, it rises and fall. We buy a bag of rice for N12,900 and sell at N13,500. But the price of rice (agric) due to the high demand of the rice. For garri, a bag can be purchased from N5,500 upwards depending on the size of the bag and the type as well. A small bag of beans (oloyin) cost NN25,000, a small bag of beans (olotu) cost N25,000 and a small bag of beans (oloone) cost N23,000. And the big bags can be sold from N40,000 upwards.

“In 2015, these bags of beans can be purchased from N7,500, but now, it is a thing of the past as traders bite their fingers to purchase goods and also run into debt after selling the goods.”

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In the same vein, a meat seller identified simply as Chairman at the market, said the price of beef has gone up before now adding that the prices of the cow are influenced by the size and the season during purchase.

He said: “Before Sallah, the cost of purchasing a big cow was high and during Sallah, it increased significantly. For rams, it was very expensive, and only few buyers could afford it, because the prices are doubled and this is based on the size and the location of purchase. During rainy season, beef is always affordable but during dry season, they become expensive. And by December, it will increase again.

“I would say presently; the market is very dull, we never can tell what will be the turn out of tomorrow's activities. Buyers are complaining that they do not have enough money to spend. Salary earners are also complaining. We are only praying to God for things to turn around for good in this country.”

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All food items are affected by the weather during the planting season. If the growing season is too wet, too dry, or too cold, or too hot, crops cannot thrive. A scarcity or shortage of a crop may mean it will cost more. When a season results in a surplus, food prices may go down. This is what we are experiencing now with some food items in the market.

The food production system requires a lot of people to make it work: farmers, packers, processors and retailers. Many job opportunities exist in this system. If the cost of labour goes up: minimum wage is increased, food prices may increase. So this determines to an extent, the purchasing power of the buyers.

Like weather, factors such as pest and disease can damage or destroy a crop or affect livestock production. This is a big issue farmers face if they are not well equipped. so also, When the price of oil and gas are higher, it costs more to transport food through the steps from farm to plate that is: to processing facility, to the store. This can impact the price of food.

At the moment, prices of goods are rising more than official statistics indicate. These trends are not highly visible due to the economy, but as the recovery continues, there’s every reason to think that they will become more widespread.

The traders however, expressed optimism that the effort at revamping the country’s ailing economy would materialize. As the renewed focus on agriculture and the government’s effort at strengthening the naira persists. This will boost food production resulting to bountiful harvest that would lead to reduction in the price of some foodstuff items.

Market Survey: Why Are Prices of Foodstuff, Fruits Always High During Ramadan? via NAIJ.com TV