By Modupe Gbadeyanka
A report on inflation for the month of March has revealed that prices of some food prices increased, while others depreciated.
According to FSDH Research, the prices of food items monitored in March 2017 moved in varying directions.
The prices of garri, yam, beans, tomatoes and fish were up by 13.23 percent, 12.04 percent, 6.67 percent, 4.76 percent and 0.74 percent respectively.
Meanwhile, the prices of onions, palm oil, Irish potatoes, sweet potatoes, rice and vegetable oil were down by 17.41 percent, 14.12 percent, 9.52 percent, 8.33 percent, 4.55 percent and 2.78 percent respectively.
The price of meat however, remained unchanged.
“The movement in the prices of food items during the month resulted in 1.20 percent increase in our Food and Non-Alcoholic Index to 227.50 points.
“We also noticed increases in the prices of Housing, Water, Electricity, Gas & Other Fuels divisions between February 2017 and March 2017.
“Our model indicates that the general price movements in the consumer goods and services in March 2017 would increase the Composite Consumer Price Index (CCPI) to 221.31 points, representing a month-on0month increase of 1.08 percent.
“We estimate that the increase in the CCPI in March will produce an inflation rate of 16.52 percent lower than the 17.78 percent recorded in February 2017,” FSDH Research said in its report.
Also, FSDH Research’s analysis indicates that the value of the Naira depreciated at the inter-bank market, while it appreciated at the parallel market.
The Naira lost by 0.28 percent at the inter-bank market to close at $/N306.35 while it gained 13.42 percent at the parallel market to close at $/N395 at the end of March.
The decision of the CBN to increase Dollar supply led to the appreciation in the value of the Naira in the parallel market.
The Naira appreciation and drop in the prices of food at the international market led to a drop in the prices of consumer goods in Nigeria.
Adedapo Adesanya 
Dipo Olowookere