Transportation cost rises 117%, pulls up food price 60%

Locally produced food items

Transportation cost rises 117% on fuel subsidy removal

By Jeph Ajobaju, Chief Copy Editor

A 1kg bag of locally produced rice rose in price 60.59 per cent year-on-year (YoY) from N471.42 in September 2022 to N757.06 in September 2023, driven in part by the removal of fuel subsidy in May this year which has stoked up transportation costs that spill over to the prices of all goods and services.

The cost of Nigerian rice is contained in the latest National Bureau of Statistics (NBS) Selected Food Prices Watch for September 2023 which also shows the price hiked 2.48 per cent month-on-month (MoM) from N738.74 in August 2023.

The average price of 1kg of beef boneless stood at N2, 816.91, a 28.08 per cent jumped YoY from N2,199.37 in September 2022, and 0.62 per cent MoM from N2,799.51 in August 2023.

The price of 1kg of brown beans (sold loose) grew 28.76 per cent YoY from N556.81 in September 2022 to N716.97 in September 2023, and 3.47 per cent MoM from N692.95 in August 2023.

The NBS had earlier reported food inflation at 30.64 per cent in September 2023.

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Cost of bus journeys

NBS Transport Fare Watch shows the average fare paid by commuters for bus journeys within the city per drop increased 117.29 per cent YoY from N615.69 in September 2022 to N1, 337.80 in September 2023, and 0.11 per cent MoM from N1, 336.38 in August, per The Guardian.

The average fare for bus journey intercity per drop notched 56.12 per cent YoY from N3, 790.06 in September 2022, but decreased 0.02 per cent MoM from N5, 918.18 in August 2023 to N5, 917.16 in September.

“On a year-on-year basis, the fare in air travel, the average fare paid by air passengers for specified routes single journey was N79, 013.48 in September 2023, showing no significant differences in the fare paid in the previous month,” the NBS said.

“However, on a year-on -year basis, the fare rose by 8.70 per cent from N72, 690.54 in September 2022.

Jeph Ajobaju:
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