Economists and financial analysts have attributed the mixed reactions among Nigerians and traders over the recent fall in the price of rice to a conflict of interest between consumers and business owners.
The Chief Executive Officer of the Centre for the Promotion of Private Enterprise, CPPE, Muda Yusuf, and the Executive Officer of SD & D Capital Management, Idakolo Gbolade, made this known in separate interviews with DAILY POST.
Their remarks followed reports that the price of a 50-kilogramme bag of rice had dropped to between ₦55,000 and ₦75,000 from ₦85,000 recorded earlier in 2025.
The decline in price was observed in major markets such as Mile 12 and Oyingbo in Lagos, while in Abuja’s Dutse and Kubwa markets, the commodity now sells between ₦65,000 and ₦85,000 depending on the brand.
Related News: Tension In Ogun, Lagos Over Alleged Deadly Rice Circulation
Nigerian Prisons Spend More on Dog Foods Than Prisoner Meals, Correctional Service Admits
Angry Nigerian Youth Hijack Trucks Of Palliatives Loaded With Foodstuffs
Reports also indicated that other food items, including yams, beans, onions, and tomatoes, had experienced a reduction in prices across several parts of the country.
According to data from the National Bureau of Statistics (NBS), headline inflation dropped to 18.02 per cent in September 2025, while food inflation fell to 16.87 per cent, compared to 20.12 per cent and 21.87 per cent respectively in August.
While the price drop has been welcomed by consumers, some traders have expressed frustration over shrinking profit margins and the potential impact on their businesses.
Reacting, Yusuf stated that the government must ensure a fair balance between maintaining affordable prices for citizens and sustaining business operations through appropriate incentives.
“It is due to conflict of interest. Nigerians want cheaper rice, while business owners want higher profit margins,” he said.
He added, “The federal government has to create the balance. The rice and other staple food import waiver policy was a stopgap measure which ended in December 2024. The government needs to be consistent with its policy to ensure that the price of rice remains affordable for the masses.”
Yusuf further called on the government to assist traders and producers with measures that will enhance their capacity for local food production.
On his part, Idakolo explained that the recent decline in prices signified that the government’s temporary import waiver policy on staple food items was beginning to yield results.
“The drop in the price of a bag of rice and other staple foods across the country is a testament that some of the policies of the government are now impacting Nigerians positively,” he said.
He added, “The administration of President Tinubu started on a challenging note with the removal of fuel subsidy and exchange rate deregulation. However, in the past two years, he has been able to stabilise the economy through well-thought-out policies, including the temporary waiver on imports of selected staple food items.”
It will be recalled that in 2024, the federal government introduced a temporary food import duty waiver to cushion the rising cost of food. However, local farmers have raised concerns that the policy negatively affected indigenous food production and local market competitiveness.
