AGRICULTURAL PRICE POLICY, CONSUMER DEMAND AND IMPLICATIONS FOR HOUSEHOLD FOOD SECURITY IN NIGERIA

There is persistent instability of consumer prices for most agricultural commodities in Nigeria. This is occasioned by factors such as season, input price changes, production and marketing technologies and consumer taste, among others. The market price variations often affect the level of consumer demand and food security status of the households. This study therefore examined the synergy between the agricultural commodity prices, consumer demand and food security status of the consuming households in Nigeria. A total of 360 foodgrains consumers were randomly sampled for this study from the 6 geo-political zones in the country. Results indicated that despite the various policies on agricultural prices, the market prices of foodgrains remain unstable. Specifically, the level of consumer demand and satisfaction got reduced while a large proportion of the consumers were food insecure. Major factors that are responsible for unstable consumer demand and household insecurity in the consumption of foodgrains among Nigerians include insufficient household income, increasing household size, consumer preference, market price and lack of standard measurement. With increased discipline in the style of implementation of the various price policies on agricultural commodities, it is hoped that the level of consumer demand and foodgrains security status of Nigerians will improve.