NBS Reports 29% Surge in Farm Produce Costs
The National Bureau of Statistics (NBS) has reported a 28.98 per cent rise in the average cost of farm produce between January and May 2025, signalling a deepening crisis in Nigeria’s agricultural sector.
According to the NBS, the price index for farm produce surged from 110.5 in January to 142.53 in May 2025.
This sharp increase, particularly pronounced in May, highlights the mounting pressure on local food prices, largely driven by worsening insecurity in the country.
A price index is a statistical measure that tracks the changes in the price level of a selected group of goods and services over time.
It helps to assess inflation or deflation by comparing the current price of the selected items to their price in a base period.
The NBS data shows a steady rise in the price of farm produce from January to May.
In January, the price index stood at 110.5, and by February, it had increased by 1.77 per cent to 112.46.
The index rose by another 2.65 per cent in March to 115.43, before a smaller increase of 0.88 per cent in April, bringing the price to 116.46.
However, the most alarming surge occurred between April and May, when the price jumped by 22.28 per cent to 142.53.
The increase highlights the underlying disruptions in agricultural production, which has been attributed to the ongoing insecurity that has crippled farming activities in various parts of the country, especially in the food basket of the nation, Benue.
Food inflation in Benue State had reached 51.8 per cent year-on-year, alongside a 25.6 per cent monthly increase in food prices in April 2025.
The overall all-items inflation rate in Benue was 34.3 per cent, rising 12.8 per cent month-on-month in April.
By May 2o25, Benue State recorded a significant drop of 57.53 per cent in food inflation, falling to 22.0 per cent, despite ongoing violence and killings in parts of the state.
The NBS report also showed that, although food inflation moderated on a year-on-year basis, Benue still experienced a 4.1 per cent increase in food prices month-on-month, reflecting persistent short-term pressures on supply.
Overall headline inflation in the state stood at 25.9 per cent year-on-year and 3.1 per cent month-on-month.
Economic Confidential observed that the Imported Food Price Index has shown more stability, standing at 111.5 in January and rose modestly by 1.3 per cent to 113.4 in February.
The increase continued at a slower pace, with the index reaching 113.9 in March, marking a 0.44 per cent rise.
In April, the Imported Food Index peaked at 115.3, a 1.23 per cent increase from March.
However, in May, the index saw a slight decline of 1.39 per cent, dropping to 113.7.
Nigerians had between January and March 2025 imported food and beverages valued at N1.67tn according to data from the NBS.
The figure represents a marginal increase of five per cent compared to the N1.59tn recorded in the corresponding period of 2024.
