Despite the Nigerian government’s efforts to stabilize food prices, a looming famine poses a significant threat as northern rice merchants capitalize on favourable exchange rates to export rice to Niger Republic for higher profits.
An investigation has revealed that these traders are taking advantage of the depreciated value of the Nigerian currency, seeking more lucrative opportunities across the border.
A commercial driver involved in transporting rice to Niger Republic revealed that a plate of local rice in Sokoto is priced between 3,000 and 3,200 naira, while the same product fetches 5,500 naira or more in Niger Republic.
The challenging economic conditions, coupled with the favourable exchange rate, have led to a substantial increase in the export of Nigerian local rice to Niger Republic.
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The ECOWAS ban on Niger Republic, restricting the movement of goods, especially foreign parboiled rice, has created a gap that local rice merchants are exploiting.
Despite concerns about the closure of the Nigeria-Niger Republic border, traders are reportedly using illegal routes along the bush to bypass restrictions.