Opinion
Off Violence And Global Food Insecurity
On February 24, 2022, the ego of one man led Russia to war. Many in the West, never envisaged that such a day could come again in continental Europe, but Vladimir Putin’s lust for a place in infamy cannot be quenched. For him, Mother Russia must be resurrected, even if it means the senseless deaths of tens of thousands of Russian soldiers, thousands of Ukrainian soldiers and civilians, and millions of refugees. After four months of Putin’s so-called Special military operation, the ripples are now felt across the world. Global food security is now at risk due to millions of tons of Wheat trapped in Ukraine, and countries across the world that depend on food aid from the world food programme are now at risk of starvation since 50 per cent of the programme’s wheat supply comes from the country. Ukraine also produces about 20 per cent of global high-grade wheat and the equivalent of 7 per cent of total global wheat production. The war is also affecting Russia’s production, which when combined with Ukraine supplies about 30 per cent of wheat and 24 per cent of global barley supply.
Benue State is to Nigeria, what Ukraine represents in the global food supply, and it has been the target of continuous attack from Fulani herdsmen and bandits. Even though these attacks did not begin in 2015, since the advent of President Buhari, they have increased in frequency, spread and sophistication. Nigerian farmers in most states in the country now have to contend with stranger criminal elements unheard of in the past. The term bandit is a synonym for terror; most of our food-producing communities are the ones bearing the full brunt of the attack.
In Benue State, about 70 per cent of those in IDP camps are farmers whose communities and farms have been sacked and livelihoods completely eviscerated. When the herdsmen and bandits descend on these communities, they destroy barns and seedlings for the next farming season. Our once celebrated food basket is almost empty, and the impact could be felt across the country on every kitchen table, and food inflation now stands at 18.8 per cent. The most troubling part of this issue is that little or nothing is being done to arrest the situation; and by not dealing decisively with this matter, President Buhari has given tacit support to his kinsmen as they continue to decimate farming communities in Benue since 2018. Unfortunately, the farming communities in Benue State are not the only ones suffering at the hands of Fulani herdsmen and bandits.
On a TV programme in January 2022, the Aare Ona Kakanfo of Yorubaland, Aare Gani Adams, stated that the food crisis is imminent in the South-West region of Nigeria due to the onslaught on farmers by Fulani herdsmen. According to him, farmers in hotspots have stopped going to their farms for fear of being attacked by criminal herders. Another telling side of this herdsmen saga in South-West Nigeria is that they deliberately lead their herds into farms to graze, as a result, many farmers have incurred huge amounts of debt, leading to frustration.
In Rivers State, especially in Ogoni land and Etche, herdsmen with AK-47s have destroyed countless farms, raping women, destroying livelihoods, and dislocating local food supply in the process. They are undeterred because nobody wants to go to war; but how long shall we continue like this? They have removed the natural buffers and shock absorbers that offer us defence in times of food inflation and global food crises; and the monthly “Selected Food Prices Watch” of the National Bureau of Statistics (NBS) in all parts of the country has been showing it.
According to the NBS’s data for May 2022, the average price of 1kg of beans (white, black eye, sold loose) rose on a year-on-year basis by 37.22 per cent from N382.37 in May 2021 to N524.70 in May 2022. Also, on a month-on-month basis, this increased by 1.09 per cent from N519.05 in April 2022. The average price of 1kg of a Yam tuber increased on a year-on-year basis by 37.87 per cent from N269.98 in May 2021 to N372.23 in May 2022.
According to the NBS’s data, on a month-on-month basis, the average price of this item increased by 3.05 per cent in May 2022. Similarly, the average price of 2kg of Wheat flour: pre-packed (golden penny) on a year-on-year basis, rose by 34.92 per cent from the value recorded in May 2021 (N785.87) to N1, 060.26 in May 2022. On a month-on-month basis, it increased from N1, 047.74 in April 2022 to N1, 060.26 in May 2022 indicating a 1.20 per cent rise.
From the NBS’s data also, the average price of Palm oil: (1 bottle, specify bottle) increased by 42.81 per cent from N593.36 in May 2021 to N847.39 in May 2022. It also rose by 0.55 per cent on a month-on-month basis. The average price of 1kg of beef (boneless) rose by 34.11 per cent on a year-on-year basis from N1, 513.43 in May 2021 to N 2,029.59 in May 2022. In addition, the average price of Groundnut oil: (1 bottle, specify bottle) stood at N1, 040.88 in May 2022, showing an increase of 47.99 per cent from N703.36 in May 2021.
During the monetary policy committee meeting in March 2021, the CBN Governor, Mr Godwin Emefiele, adduced that the activities of the Fulani herdsmen was a contributory factor to rising inflation, he said, “This persisting uptick in food inflation was the major driving factor to the uptick in headline inflation”. According to him, this was due to the worsening security situation in many parts of the country, particularly, the food-producing areas, where farmers face frequent attacks by herdsmen and bandits on their farms. Unfortunately, things have gotten worse since 2021. Again, the committee further noted that the hike in the price of Premium Motor Spirit (PMS), the upward adjustment in electricity tariffs, and the depreciation of the naira are the key drivers of the increase in core inflation. Where are we today in the above indices as compared to 2021? There is even a continuous micro increment on electricity tariff, but we dare not talk about the price of diesel, which is heading to N1000 per liter. However, going by the reasoning of the MPC in March 2021, the coming hike in the pump price of PMC might be the last nail that seals the coffin of most Nigerians for good.
But we know that most of these problems are self-inflicted. They are akin to the insane policy failures of President Joe Biden in the US. He has banqueted a thriving economy in January 2020, but in only 18 months the US economy is wrecked. It is so bad that the US is unable to produce its own baby formula, shelves are emptying fast across the county, and recession is already on the horizon. The saddest part is that he blames everyone but himself.
In all honesty, we cannot say that President Jonathan handed a fantastic economy to President Buhari, but whatever state the economy was in 2015 has been upended. Most of those in the cabinet of President Jonathan was indisputable technocrats, whereas, President Buhari’s incompetence and nepotistic disposition gave us one of the worst National Executive Council of all time.Thanks to Buhari, families who were able to eat two square meals are now struggling to eat one. It is sad because we thought that campaign promise meant anything, unfortunately, the repercussions of our votes in 2015 is felt every day on the kitchen table of our wives and our dining tables, and just like Joe Biden, President Buhari, through his spokesmen, Garba Shehu and Lie Muhammed have taken no responsibility for turning Nigeria into a living hell for most of us.
By: Raphael Pepple
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Opinion
Fuel Subsidy Removal and the Economic Implications for Nigerians
From all indications, Nigeria possesses enough human and material resources to become a true economic powerhouse in Africa. According to the National Population Commission (NPC, 2023), the country’s population has grown steadily within the last decade, presently standing at about 220 million people—mostly young, vibrant, and innovative. Nigeria also remains the sixth-largest oil producer in the world, with enormous reserves of gas, fertile agricultural land, and human capital.
Yet, despite this enormous potential, the country continues to grapple with underdevelopment, poverty, unemployment, and insecurity. Recent data from the National Bureau of Statistics (NBS, 2023) show that about 129 million Nigerians currently live below the poverty line. Most families can no longer afford basic necessities, even as the government continues to project a rosy economic picture.
The Subsidy Question
The removal of fuel subsidy in 2023 by President Bola Ahmed Tinubu has been one of the most controversial policy decisions in Nigeria’s recent history. According to the president, subsidy removal was designed to reduce fiscal burden, unify the foreign exchange rate, attract investment, curb inflation, and discourage excessive government borrowing.
While these objectives are theoretically sound, the reality for ordinary Nigerians has been severe hardship. Fuel prices more than tripled, transportation costs surged, and food inflation—already high—rose above 30% (NBS, 2023). The World Bank (2023) estimates that an additional 7.1 million Nigerians were pushed into poverty after subsidy removal.
A Critical Economic View
As an economist, I argue that the problem was not subsidy removal itself—which was inevitable—but the timing, sequencing, and structural gaps in Nigeria’s implementation.
- Structural Miscalculation
Nigeria’s four state-owned refineries remain nonfunctional. By removing subsidies without local refining capacity, the government exposed the economy to import-price pass-through effects—where global oil price shocks translate directly into domestic inflation. This was not just a timing issue but a fundamental policy miscalculation.
- Neglect of Social Safety Nets
Countries like Indonesia (2005) and Ghana (2005) removed subsidies successfully only after introducing cash transfers, transport vouchers, and food subsidies for the poor (World Bank, 2005). Nigeria, however, implemented removal abruptly, shifting the fiscal burden directly onto households without protection.
- Failure to Secure Food and Energy Alternatives
Fuel subsidy removal amplified existing weaknesses in agriculture and energy. Instead of sequencing reforms, government left Nigerians without refinery capacity, renewable energy alternatives, or mechanized agricultural productivity—all of which could have cushioned the shock.
Political and Public Concerns
Prominent leaders have echoed these concerns. Mr. Peter Obi, the Labour Party’s 2023 presidential candidate, described the subsidy removal as “good but wrongly timed.” Atiku Abubakar of the People’s Democratic Party also faulted the government’s hasty approach. Human rights activists like Obodoekwe Stive stressed that refineries should have been made functional first, to reduce the suffering of citizens.
This is not just political rhetoric—it reflects a widespread economic reality. When inflation climbs above 30%, when purchasing power collapses, and when households cannot meet basic needs, the promise of reform becomes overshadowed by social pain.
Broader Implications
The consequences of this policy are multidimensional:
- Inflationary Pressures – Food inflation above 30% has made nutrition unaffordable for many households.
- Rising Poverty – 7.1 million Nigerians have been newly pushed into poverty (World Bank, 2023).
- Middle-Class Erosion – Rising transport, rent, and healthcare costs are squeezing household incomes.
- Debt Concerns – Despite promises, government borrowing has continued, raising sustainability questions.
- Public Distrust – When government promises savings but citizens feel only pain, trust in leadership erodes.
In effect, subsidy removal without structural readiness has widened inequality and eroded social stability.
Missed Opportunities
Nigeria’s leaders had the chance to approach subsidy removal differently:
- Refinery Rehabilitation – Ensuring local refining to reduce exposure to global oil price shocks.
- Renewable Energy Investment – Diversifying energy through solar, hydro, and wind to reduce reliance on imported petroleum.
- Agricultural Productivity – Mechanization, irrigation, and smallholder financing could have boosted food supply and stabilized prices.
- Social Safety Nets – Conditional cash transfers, food vouchers, and transport subsidies could have protected the most vulnerable.
Instead, reform came abruptly, leaving citizens to absorb all the pain while waiting for theoretical long-term benefits.
Conclusion: Reform With a Human Face
Fuel subsidy removal was inevitable, but Nigeria’s approach has worsened hardship for millions. True reform must go beyond fiscal savings to protect citizens.
Economic policy is not judged only by its efficiency but by its humanity. A well-sequenced reform could have balanced fiscal responsibility with equity, ensuring that ordinary Nigerians were not crushed under the weight of sudden change.
Nigeria has the resources, population, and resilience to lead Africa’s economy. But leadership requires foresight. It requires policies that are inclusive, humane, and strategically sequenced.
Reform without equity is displacement of poverty, not development. If Nigeria truly seeks progress, its policies must wear a human face.
References
- National Bureau of Statistics (NBS). (2023). Poverty and Inequality Report. Abuja.
- National Population Commission (NPC). (2023). Population Estimates. Abuja.
- World Bank. (2023). Nigeria Development Update. Washington, DC.
- World Bank. (2005). Fuel Subsidy Reforms: Lessons from Indonesia and Ghana. Washington, DC.
- OPEC. (2023). Annual Statistical Bulletin. Vienna.
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