Fuel Hike Will Cause Increase In Price Of Food – Association

Fuel Hike Will Cause Increase In Price Of Food – Association

By News Agency of Nigeria on September 4, 2020
fuel pump

Some farm produce distributors on Friday, September 4, 2020, expressed dismay over continuous hike in fuel pump price, saying it would increase produce price to the disadvantage of both sellers and buyers.

The distributors spoke with the News Agency of Nigeria, NAN, under the auspices of Iyanoba Yam-Plantain-Orange Distributors Association in Lagos State against the backdrop of Federal Government’s fuel increase and anticipated food price hike.

Abbas Olusola-Alabi, the chairman of the Group, said that his members were already overwhelmed by series of levies they encounter on the highways; transporting goods from places of cultivation to the cities where they were needed.

“For months now, our overhead cost has been depilating our profits, making it cumbersome for us to make even; the measure will make transporters to increase their service charge well above what is expected for they have been longing for such.

“The latest addition in fuel price will compel produce distributors to increase prices of items above the ceiling placed by the association per item to remain in business,’’ he said.

James Kadiri, the association’s spokesman, who admonished members not to increase prices on old stocks until new stocks, said that Nigerians would be the worse for it.

“Both the buyer and seller are at the receiving end of the fuel increase because the price rise in food items is imminent and this will reduce dealers sellers volume and unsettle people who cannot buy what they needs.

“Our economy transcend fuel hike every now and then, it is not ideal; I wonder how anybody can plan for the future when there is uncertainties in all facets of the economy,” he said.

NAN reports that the fuel increase on Wednesday from N150 to N161 per litre, and the third in the year; was greeted with displeasure, anger, and misgiving as some citizens complain that social-economic activities will be adversely affected by the policy.

NAN reports that most petrol stations visited had adjusted their pump price to reflect the new price regime to the dismay of motorists, who murmur while paying the new price.


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