The cost of making Nigeria’s staple stew has dramatically increased, with prices rising by over 121% within a year. Key ingredients such as tomatoes and onions have seen significant price hikes due to seasonality and supply chain issues. This crisis disproportionately affects low-income earners, highlighting the urgent need for effective economic policies to stabilize food prices.
The cost of preparing Nigeria’s essential stew has more than doubled in Lagos, underscoring the escalating cost-of-living crisis. According to the PricePally 2024 Stew Index Report, the expense for a pot of beef stew surged to ₦17,817, reflecting a significant 121.05% increase from ₦8,060 in 2023, as households continue to face rising food prices and inflation.
Similarly, the prices of other stew types have also experienced dramatic hikes. A pot of chicken stew now costs ₦15,034, up from ₦7,085, while goat meat stew has risen by 153.03% from ₦8,227 to ₦20,811. Even a protein-free stew cost escalated from ₦4,387 in 2023 to ₦11,317 in 2024, illustrating the pervasive nature of food price increases.
This steep rise in stew costs reflects a broader pattern of surging food prices in Nigeria, primarily attributed to supply chain disruptions and naira depreciation. Food inflation reached 24.08% in January 2025, a decrease from 39.84% in December 2024 following a revision of the Consumer Price Index (CPI) by the National Bureau of Statistics (NBS), which modified the weighted components of the inflation basket.
Low-income earners are disproportionately affected by this situation. The current minimum wage stands at ₦70,000 per month, leading a minimum wage worker to spend 25.45% of their salary just to prepare one pot of beef stew, compared to 24.42% previously under the old wage of ₦33,000.
The prices of key ingredients have also escalated sharply. Tomatoes, priced at ₦1,506 per kilogram in July 2023, rose to ₦2,625 by September 2024, marking a 21.7% yearly increase. Notably, onions jumped from ₦971.86 per kilogram in 2023 to ₦3,000 in September 2024, indicating a staggering 200% increase within this timeframe.
Basil Abia, co-founder of Veriv Africa, noted, “For tomatoes, one definite factor is their seasonality. When they’re out of season, it’s super expensive to get them… On average, tomatoes can have a 40% to 50% loss ratio.” Beef also witnessed a price rise from ₦4,050 per kilogram in January 2024 to ₦6,500 by September, while goat meat soared from ₦3,856 to ₦8,500, representing a remarkable increase of over 120%.
Without proper cold storage systems, high temperatures during transportation cause substantial post-harvest losses. Combining reduced supply with consistent demand—particularly for onions in traditional Nigerian dishes—has exacerbated price increases.
The meat supply chain faces serious challenges as well, with Nigeria producing 1.551 million metric tons of meat in 2023. Poor transportation networks and inadequate cold storage significantly diminish the volume of meat reaching consumers, contributing to higher prices.
Wider economic factors also amplify the crisis, including inflation fueled by a lack of local production and a fluctuating foreign exchange market. Abia remarked, “Foreign exchange has spiked from around ₦700 per dollar just 18 months ago to approximately ₦1500 today.” Such economic conditions, coupled with high fuel costs and expenses from various road checkpoints, directly influence food prices.
While there are early signs of a slowdown in inflation, ongoing supply chain disruptions may persist, suggesting continued high food prices and caution among policymakers regarding potential relief strategies.
The substantial increase in the cost of preparing staple stews in Nigeria highlights a significant cost-of-living crisis, primarily driven by inflation, supply chain disruptions, and depreciation of the naira. Low-income households are especially burdened, spending a large portion of their salaries just on essential food items. Without effective interventions, the persistently high food prices may continue to challenge the economic stability of many Nigerians.
Original Source: techcabal.com
