The price of onions in major markets in Lagos State has witnessed a significant surge with bulk sellers reporting up to 44 per cent increase in the cost per bag.
The sellers attribute the increase, largely due to the rising cost of transportation from northern production hubs.
The market stakeholders told the News Agency of Nigeria in Lagos, that the price hike had significantly impacted on vendors and consumers alike, as the festive season draws nearer.
A bulk onion seller at the Mile 12 market, Mr Muhammad Kililu, said that the cost of a bag of onions had risen sharply.
“We used to sell onions for ₦70,000 to ₦90,000, but now it is between ₦100,000 to ₦130,000, depending on the size,” he said.
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Kililu attributed this significant shift in price, to the rising cost of logistics.
“The transportation costs from the North to Lagos have increased, contributing to the price rise,” he said
NAN reports that the surge in the wholesale prices of the commodity, now appears to be crippling retail profit margins.
A retail seller, Mrs Olurotimi Abimbola, who came for shopping at the mile 12 market, chronicled her business experience as follows:
“I use to buy and sell them for ₦50 each.
“Now, I am buying them for ₦75 each and selling for ₦100; It is unsustainable, but what choice do I have,” she lamented.
Meanwhile, mixed reactions have trailed the views of consumers on the development.
A buyer, Mrs Olayemi Janet, who appeared undaunted by the inflation simply said: “December is an off-season for onions, and I am prepared for the price hike.
“The economic situation in the country is not helping, so I am not surprised,”.
However, another buyer, Mrs Oladipupo Oseni, expressed frustration on the limited purchasing power and storage challenges.
“Onions are not something I can store for long, I can only buy what I need for a few days; If I could store them properly, I’d buy in bulk when they’re cheaper,” she said
The buyer also noted that there were difficulties faced by households, in mitigating price fluctuations through bulk buying.
NAN reports that the consensus among market stakeholders is that the current price hike is unsustainable for small-scale businesses.
They express worry that same could worsen as consumer demand typically spikes during the festive period. NAN
