Amid high food inflation, cost of feeding surges on gas, kerosene prices

Hiseasnetwork1个月前Internationality117
Notwithstanding the high food inflation in the country, Nigerians have continued to contend with the rising costs of making meals either at home or from commercial food vendors, going by the latest prices of gas and kerosene. Amid high food inflation, cost of feeding surges on gas, kerosene prices…Cooking gas surges by 78% within a year, kerosene 24.81%

Notwithstanding the high food inflation in the country, Nigerians have continued to contend with the rising costs of making meals either at home or from commercial food vendors, going by the latest prices of gas and kerosene.

In the absence of regular electricity supply, Liquefied Petroleum Gas (LPG) and kerosene are the major sources of cooking fuel for many Nigerians, but the rising costs have seen a growing percentage of households shifting to firewood and saw dust.

The 2019 expenditure pattern report, which measures Nigeria’s spending pattern in both food and non-food items, revealed that of the total, 56.65 per cent of the household expenditure in 2019 was spent on food, with the balance of about 43.35 spent on non-food items.

With a high food inflation and rising cooking fuel costs, the amount spent on food is expected to have doubled, pushing many households into poverty and hunger.

Marketers note that the shortage in the local market is caused by poor supply, as many gas-producing firms prefer to export rather than supply the domestic market due to the price parity.

Currently, the Nigerian LPG domestic market gets 60 per cent of products from import by marketers while a paltry 40 per cent is supplied locally.

Though Nigeria’s inflation rate fell for the eighth consecutive month in November to 15.40 per cent from 15.99 per cent recorded a month earlier, food prices, as well as prices of gas, liquid fuel, transportation costs by air and road, continued to witness a spike.

Indeed, the latest data released by the National Bureau of Statistics (NBS) confirmed concerns about the rising costs of liquefied petroleum gas, otherwise known as cooking gas, as the average cost of buying a 12.5kg cylinder cooking gas in Nigeria spiked by 78.99 per cent on a year-on-year basis from a lower cost of N4,082.97.

In November 2021, the average price of the product was N7,308.06, an increase of 10.09 per cent on a month-on-month basis from a lower cost of N6,638.27 in the preceding month of October 2021.

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