IMPACT OF RISING FOOD PRICES ON HOUSEHOLDS’ FOOD SECURITY IN NIGERIA
Usman Lawal Abubakar, Sanusi Sule and Rabi’u Isah Moh’d
Volume 4 Issue 1
Abstract
In Nigeria, food insecurity remains a pressing issue. One of the main obstacles to access to food is volatile food prices. However, little research has assessed the impact of unanticipated price shifts on household food security outcomes. This study aims to address this knowledge gap using three waves of the Nigerian General Household Survey. The study employed a pooled OLS and fixed effects models to investigate the relationship between various price indices and a Reduced Coping Strategies Index, which measures food security. The price variables included the total food basket price as well as the prices of staples such as rice, maize, and garri. Results show that increases in general food prices and prices of maize and garri are significantly associated with reductions in food security. This relationship persists even when individual heterogeneity is partialled out using fixed effects. However, the impact of changes in rice prices is negligible. No differences were observed between male- and female-headed households. The study suggests that policies are needed to limit inflation and stabilise basic costs, while targeted programmes can help vulnerable groups cope with unexpected price shocks, addressing domestic agricultural productivity and supply chain resilience can also protect poor households from fluctuations in food prices. Keywords: Food Prices; Food Security; Nigeria
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