Rising food prices, led by sharp increases in edible oil and other staples, are deepening cost-of-living pressures even as headline inflation eases

Nigeria’s food inflation rose to 17.52 per cent in June 2026, marking another increase in the cost of essential goods and highlighting renewed pressure on households despite a marginal easing in overall inflation.

Also read: Nigeria’s inflation eases to 15.91%, food prices bite – OPS

The latest figures from the National Bureau of Statistics (NBS) show that Nigeria food inflation increased from 16.96 per cent in May to 17.52 per cent in June on a year-on-year basis.

On a month-on-month basis, food inflation also accelerated sharply to 3.75 per cent from 2.98 per cent in May.

The development presents a mixed picture for the Nigerian economy.

While headline inflation eased marginally from 15.93 per cent in May to 15.91 per cent in June, the rising cost of food continues to place a significant burden on household budgets.

Market data from the Price and Promo FMCG Momentum Dashboard showed that edible oil recorded the strongest upward pricing momentum among six food categories tracked during the month.

The dashboard monitored 122 fast-moving consumer goods food products and found that 72 per cent of stock keeping units recorded no month-on-month price change.

Another 13 per cent increased in price, while 15 per cent declined.

The figures suggest that price pressures were concentrated in particular categories rather than spreading uniformly across the wider food market.

Noodles recorded a mild decline during the period, while breakfast cereals, food seasoning, powdered beverages and powdered milk remained broadly stable.

The NBS said the June increase in food inflation was driven by higher prices of several food items, including fresh pepper, tomatoes, crayfish, beef, garri, yam tubers, yam flour, cassava flour, cowpea, bananas and Irish potatoes.

Food and non-alcoholic beverages remained the largest contributor to headline inflation, accounting for 6.37 percentage points.

The renewed rise has raised concerns among economists and private-sector groups about the impact of persistent food price pressures on living standards.

Dr Muda Yusuf, Chief Executive Officer of the Centre for the Promotion of Private Enterprise, said food prices had resumed an upward trajectory after a brief period of moderation.

“The dominant concern in the report is the renewed acceleration in food inflation,” Yusuf said, noting that the month-on-month increase to 3.75 per cent represented the strongest monthly rise in several months.

He warned that the trend was particularly troubling because food inflation has a direct impact on household purchasing power and food security.

“Food inflation remains the greatest driver of the cost-of-living crisis, eroding household purchasing power, worsening poverty and food insecurity, and weakening the inclusiveness of the current reform programme,” Yusuf said.

Yusuf argued that Nigeria’s inflation challenge was increasingly structural rather than purely monetary.

He pointed to insecurity in farming communities, high transportation and logistics costs, elevated energy prices, rising fertiliser costs and supply chain disruptions as factors contributing to the persistence of food price pressures.

The economic analyst also noted that urban inflation stood at 16.08 per cent year-on-year in June, above the national headline rate of 15.91 per cent.

He suggested that population displacement from rural communities affected by insecurity could be contributing to the elevated inflation rate in urban centres.

The latest figures also revive concerns previously raised by the Manufacturers Association of Nigeria over the effect of rising food and production costs on businesses and consumers.

MAN Director-General Segun Ajayi-Kadir had called for stronger security in agricultural communities, concessionary financing for manufacturers and a dedicated foreign exchange window from the Central Bank of Nigeria.

The manufacturers’ body has also warned that persistent inflation could erode gains from exchange rate stability and improved harvests if supply-side constraints remain unresolved.

For Yusuf, however, the latest inflation data does not justify further monetary tightening.

He argued that headline inflation had broadly stabilised and that the underlying drivers of food inflation were largely outside the reach of interest rate policy.

“The CPPE expects the Monetary Policy Committee to maintain the current monetary policy stance at its next meeting,” he said.

The call comes as the government continues to face pressure to ensure that improvements in macroeconomic indicators translate into tangible relief for households.

The Federal Government’s broader economic reform programme has helped stabilise some key indicators, with headline inflation and core inflation showing signs of moderation.

Yet the experience of consumers at markets remains shaped heavily by the price of food, transport, energy and other basic necessities.

Yusuf welcomed the establishment of a Ministerial Advisory Committee by the Minister of Finance and Coordinating Minister of the Economy to recommend measures for tackling the cost-of-living crisis.

He called for stronger security for farming communities, expanded irrigation, greater mechanisation and improved storage infrastructure to boost food production and reduce post-harvest losses.

The challenge is particularly significant because food and non-alcoholic beverages remain the biggest contributor to Nigeria’s inflation basket.

The continued increase in food prices means that even modest improvements in headline inflation may provide limited immediate relief to households struggling to meet everyday expenses.

The June data therefore presents a critical test for Nigeria’s economic policy direction.

While the slight easing in headline inflation offers some encouragement, the acceleration in food prices underscores the need for deeper reforms across agriculture, security, energy and transportation.

Also read: Inflation, insecurity push Nigerians into survival diet crisis

Until those structural pressures are addressed, the cost of feeding Nigerian households is likely to remain a central concern for policymakers, businesses and consumers alike.