The cost of bread, a common item in numerous Nigerian homes, continues to be expensive in different regions of the nation, even though the p...
The cost of bread, a common item in numerous Nigerian homes, continues to be expensive in different regions of the nation, even though the price of flour, an essential component in making bread, has decreased, according to Daily Trust's research.
Last year, the cost of flour surged dramatically, reaching more than NGN 80,000 per bag in markets throughout Kano and other northern states, as well as different regions of Nigeria, leading bakeries to raise the price of bread.
In certain regions of the country, a loaf that was previously priced at N700 now costs N1,200, while the one that used to be N500 is now N1,000, a change that has led some households to slowly remove bread from their meals.
It was reported that towards the end of last year, a 50kg bag of flour was priced between N70,000 and N71,000, while a 50kg bag of sugar ranged from N83,000 to N85,000. However, by the first week of March 2025, the price of a 50kg flour bag had dropped to N58,000, and sugar was being sold for N80,000, although the cost of bread remained elevated.
In Abuja, our reporter who visited several major markets noted that a 50kg bag of flour is currently priced between N60,000 and N65,000, compared to N80,000 or more last year.
It is reported that in Nigeria, the bread sector produces as much as US$19.81 billion, with the market projected to increase by 11.04 percent each year.
Idris Bello Biyu, a government employee with the Kano State Teachers Service Board and a father of four, mentioned that there was a period when he required at least N2,200 daily to purchase bread each morning; as a result, the circumstances became unmanageable, forcing him to remove bread from the family's meals.
"Unfortunately, when the decline in commodity prices started, we expected the price of bread to decrease too, but that didn't occur," he stated.
Business owners also impacted are the tea sellers, commonly referred to as Mai shayi.
Adamu Garba Dogo Maishayi, a 'shayi' seller in Gombe, has expressed worries about a major drop in tea sales, blaming the increase in bread prices for the decline.
Dogo Maishayi, who runs a mobile tea business, mentioned that numerous of his clients now choose tea without bread.
The officials ought to motivate bakers to lower bread prices in accordance with the drop in flour costs. The elevated expenses have had a detrimental impact on our earnings.
"Bakers are quick to raise bread prices when flour costs go up, but they take their time lowering prices when flour becomes cheaper," said Dogo Maishayi.
Nevertheless, Alhaji Aliyu Abdullahi, head of the Bakers' Association in Gombe, provided information on the causes of the stability in bread costs.
He stated that the recent drop in flour prices has been small, resulting in a negligible effect on bread costs. "The decrease in flour prices is approximately 3 percent, which is not meaningful," he mentioned.
If the cost of a bag of flour decreased by N10,000, it would lead to a chain reaction in the price of bread. In such a scenario, a loaf that currently costs N1,000 might fall to N900.
The head of the Association of Master Bakers and Caterers of Nigeria (AMBCN), Federal Capital Territory (FCT) branch, Mr Ishaq Abdulraheem, stated that while there was a minor decrease in flour costs, it did not result in a drop in bread prices.
He stated: "During the controversy, flour was being sold for N60,000. Now, it is N58,000. Sugar has also dropped from N82,000 to N80,000."
Keep in mind that we are covering the electricity costs. Additionally, the cost of diesel is varying. Furthermore, the price of margarine and nylon used for packaging remains the same. Yeast prices have also stayed constant. Nothing has decreased except for flour and sugar.
Regarding the main factor influencing bread prices, he stated: "As long as Nigeria continues to import wheat, the cost of bread will stay elevated. We can turn to cassava as a substitute. That is why we have been pushing for the government to boost cassava production."
A baker from Kano State, Alhaji Manu Inuwa, shared with our reporter that people do not realize that although the costs of sugar and flour have decreased, other essential components have not, and these are crucial for baking bread.
He mentioned that individuals should recognize that there are phases involved in raising the cost of bread, which remain consistent when aiming to lower it. He stated, 'We do not raise the price immediately; instead, we gradually decrease the size of the loaf, and subsequently, additional steps will be taken until the final outcome, which is a price increase.'
60,000 bakeries closed down
Numerous bakery owners have expressed concern that the rising expenses of production are pushing them to close their businesses.
Last week, Engr. Onuorah Emmanuel, the president of the Premium Breadmakers Association of Nigeria (PBAN), sounded the alarm regarding the deteriorating economic situation affecting the baking sector.
He disclosed that over half of the bakeries within his membership have closed in recent years because of sharply rising production expenses, elevated interest rates, and uncertainty.
During the PBAN Day Out 2025 event in Lagos, which focused on the theme: 'The Business of Baking: Pathways to Profit, Productivity and Growth,' Emmanuel presented a grim outlook for the industry, expressing concern that bakers are facing numerous economic challenges that jeopardize their sustainability and the incomes of thousands of Nigerians.
"The financial situation is crushing us; interest rates are extremely high. You can't go to the bank and secure a loan with a single-digit rate. All their loans exceed 30 percent. How can any business manage under these conditions?" he questioned.
In Kano, Umar Tijjani, a baker from Yan Kaba, mentioned that the rising expenses have caused several individuals to leave the trade.
Tijjani mentioned that since the business is no longer financially viable, he has stopped manufacturing and is now considering leaving the industry altogether.
A baker from Ilorin, Mr. Abdulazeez Abdullateef, mentioned that the small decrease in flour prices has not led to a significant drop in bread costs.
He mentioned to Daily Trust on Sunday that the cost of flour has decreased slightly in recent weeks.
He mentioned that they previously purchased a bag of flour for N66,000. The present cost ranges from N63,000 to N63,500.
He mentioned that individuals paying in cash receive it ranging from N62,000 to N63,000.
He mentioned that the difference is only N2,000 and has minimal impact on production.
Abdullateef stated that additional ingredients utilized in baking continue to be costly.
"Flour isn't the only component we utilize. We purchase yeast, flavoring agents, and preservatives. Additionally, we compensate employees and cover transportation costs for distribution. That's why the cost of bread hasn't increased," he mentioned.
He mentioned that bakers have marginally raised the weight of their bread loaves.
"The 600-gram loaf currently ranges from 610 grams to 630 grams. Exceeding this will lead us back to losses," he stated.
The head of the Kwara Master Bakers Association, Alhaji Abdulfatai Alaba, also downplayed the effect of the minor decrease in flour costs.
He likened the situation to the present issue with fuel prices.
He mentioned that a decrease of one or two thousand naira per bag of flour has little impact considering the high expenses of other components.
"If we are discussing a decrease of N10,000 or more, that is where the real effect would have been noticed, not in what we are experiencing now," he explained.
He pointed out that 'flour increased from N38,000 during the previous (Buhari) government to over N64,000 at one time.'
He mentioned that the "current price of approximately N61,000 has not relieved the stress on bakers."
Alaba mentioned that numerous bakers kept running at a loss but refrained from raising prices further due to the economic challenges in the nation.
He mentioned that the recent decrease in the cost of certain food items has made it harder to increase bread prices.
President of the bakers' association outlines terms for reducing prices
In an interview with Daily Trust, the president of the Premium Breadmakers Association of Nigeria (PBAN), Engr. Onuorah Emmanuel stated that there has been no significant drop in the cost of flour.
Moreover, he mentioned that the energy expense also had a significant impact on the rising cost of bread.
Emmanuel stated that if the cost of flour and other items such as energy decreases significantly, bakers would have to lower the price of bread.
He said, "How much has the price of flour decreased? N500. Flour is still being sold above N55,000. We haven't raised bread prices in the past year. Energy costs have caused everything to rise again. Diesel prices remain high. If all the prices decrease, we will lower our price."
My previous energy expenses ranged from N600,000 to N800,000, but now it's over N3 million. Despite this, you can see the significant increase in the weight of our bread.
Provided by SyndiGate Media Inc.Syndigate.info).
