Bleak Outlook for Grain Supplies in Nigeria due to floods

The incidence of floods across 29 of 36 states in Nigeria casts more worries for Nigeria’s food security in the coming season. The AFEX 2022 survey analysis reveals a negative growth outlook for production this year for grains like Maize, Paddy rice, and Sorghum. This has implications in the coming weeks as high demand is expected to drive upward pressure on commodity prices.

Meanwhile, Cocoa stood as the only gainer on the Exchange, gaining 1.81% while Maize stood as the only loser, declining by 0.73%.

However, the open market witnessed an increase in the price of most commodities, especially grains. Wheat rose the most, appreciating 4.69%. Sorghum followed closely, gaining 3.15% w-o-w. Sesame and Paddy rice however declined by 1.13% and 0.56% respectively w-o-w

Additionally, we are excited to announce that the 2022 AFEX crop production survey report will be out soon to help food processors, investors, and other participants on the Exchange to get more comprehensive data on crop production in Nigeria and make an informed trading decision. Stay tuned.

Market Price Performance

• In the last trading week, Cocoa stood as the only gainer on the Exchange, gaining 1.81% while Maize declined marginally by 0.73%.
• In the open market, activities showed that Wheat topped the gainers chart, appreciating 4.69% while Sesame topped the laggard chart, declining by 1.13%.
• In the international market, most grain commodities declined except for Paddy rice, which appreciated by 0.19%. Ginger topped the gainers chart, gaining 12.46 w-o-w.

Check out other relevant details on market performance by accessing the report here.