Benue Food Prices Crash,Middlemen Lose Out

Consumers in Benue State are celebrating a significant drop in food prices. However, middlemen who hoarded food items expecting higher prices are now facing heavy losses.

According to The Guardian, middlemen bought and stored food commodities between November and February, hoping to profit from last year’s soaring prices. But prices began to decline after the Christmas rush and have continued to drop.

Dorcas Tsar, a local government employee, is one of many small-scale food hoarders regretting her decision. “I bought a bag of rice paddy in January for N95,000, expecting a price hike. But it now sells for N65,000 to N70,000 in Benue,” she said.

Tsar’s experience is not unique. Large-scale hoarders bought rice at prices ranging from N95,000 to N105,000 per bag. Farmers delayed selling their produce, expecting higher prices, but are now confused by the price decline.

The price drop affects not just rice but other food commodities:

• Bambara nuts (okpa): Down from N270,000 to N300,000 to N220,000
• Cassava flour (elubo): Dropped from N30,000 to N25,000 in rural markets
• Guinea corn: Fell from N120,000 to N75,000 to N80,000

Even yams, a staple in Benue State, have been affected.

Terdoo, a trader, attributed the price crash to rumors of massive foreign rice importation by the federal government. “This disrupted market forces and contributed to the declining cost of food items.”