SpringNewsNG Media Limited, March 26, 2025

With petrol prices skyrocketing nearly fivefold in just 22 months, transport costs have surged between 20 and 100 percent, driving up logistics expenses for food traders. As a result, many Nigerian families are struggling to afford three square meals a day.

According to SBM Intelligence, transportation costs in Nigeria have seen a dramatic increase over the past seven years. Bus fares for interstate travel have surged by 403.5 percent, airfares have risen by 280.7 percent, and water transport fares have increased by 148.8 percent.

“The impact on low-income Nigerians is particularly severe. Small businesses and traders reliant on transportation for goods distribution face increased operational costs, leading to higher consumer prices,” SBM Intelligence noted.

Adebisi Olaoye, a businesswoman and food vendor at Ketu Market in Lagos, expressed frustration over the rising cost of living. “As a food vendor with four children, I barely provide three square meals for my family, notwithstanding the cost of meeting my customers’ needs,” she lamented.

The cost of preparing meals at her small canteen has doubled since the beginning of 2024 due to rising food prices. “Cooking a pot of stew or vegetable soup per day now costs over N40,000 to serve just over 100 customers,” she explained.

Most of her food items, including rice, yams, groundnut oil, and cassava flour, are transported from different states to Lagos. However, fuel price hikes, which have led to transportation fares more than doubling, have forced her to find alternatives. Petrol prices range between N800 and N900 per litre and are expected to reach N930/litre as discussions continue between petrol refiners and the federal government.

These rising costs have worsened living conditions, exacerbating poverty levels in Nigeria. According to the National Bureau of Statistics (NBS), 133 million Nigerians are multi-dimensionally poor.

Akintewe Funmilayo, a Lagos-based youth, echoed these concerns, stating, “To cook a decent pot of soup for my family of six now costs at least N15,000 with careful planning. Food vendors say transportation costs are making everything more expensive. Recently, at a local restaurant, I had to pay N400 for a spoon of rice and another N400 for a spoon of beans.”

NBS data indicates food inflation stands at 23.51 percent. While this reflects a drop from 39.84 percent in December 2024 due to the rebased Consumer Price Index (CPI) in January 2025, it remains significantly high. An SBM Intelligence analysis also noted that staple food prices for many Nigerians have more than doubled within a year.

Samson G. Simon, chief economist at ARKK Economics and Data Limited, highlighted the challenge of affording a healthy diet, even for employed Nigerians. “The Nigerian Financial Services Market Report shows that only 2.4 percent of Nigerians earn above N200,000 per month, while 17.1 percent are unemployed. About 27.8 percent earn just N35,000 monthly,” he said.

The report also revealed that three out of ten workers in Nigeria spend over 20 percent of their salary on transportation. As petrol price increases continue to strain households, many Nigerians are left struggling to meet their most basic needs, including food.