How dollar rise take affect the prices of things?

[Nangiconference]

My country people, I greet Una o. Abeg I go school graduate o but e get one thing wey I Neva really understand and I believe say the forum na the best place to ask the question. I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things
This thing Dy really make me struggle and look for means to earn in dollar.
Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

[Odohu]

My country people, I greet Una o. Abeg I go school graduate o but e get one thing wey I Neva really understand and I believe say the forum na the best place to ask the question. I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things
This thing Dy really make me struggle and look for means to earn in dollar.
Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

Dollar rise affact Nigeria because we are a net importing nation and dollar is the main currency used for international trades. Virtually everything we use in Nigeria is imported and you need dollar to import the goods. Assuming we are producing most of our things then there will not be too much dependence on the dollar.  This is the simple explanation as to why the rise of dollar affects our local currency so much.

One thing you should also know as to why the rise is so rapid is because our practices here creates unnecessary scarcity of the dollar. When an Igboman want to bring in container and there is no dollar for him to pay and do that, he will go to the black market and buy at any price, the Aboki at that end will increase his exchange rate for quick profit, na so the price go dey rise dey go.

[OGsmall]

My country people, I greet Una o. Abeg I go school graduate o but e get one thing wey I Neva really understand and I believe say the forum na the best place to ask the question. I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things
This thing Dy really make me struggle and look for means to earn in dollar.
Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

A good question just as you have asked mak I break am down just as you have said the way dollars dey affect naira.

Firstly dey get wet in we dey call inflation and if this inflation don happened things go just  cost because 50% of Nigeria usage now they are all imported from the outside country.
So for u.s if their country money just high I guess exported tinx from their country to our own go just cost bam.

You be mention garri and Indomie all this one na because of the fuel expenditure that why all these foodstuff costs, for example like rice in my village after the production of the rice na car go carrying am com outside to com sell for businesses men with a little bit of high price, then the businessmen com carry am enter shop add their gains I guess that's why the foodstuff dey high.

So i guess that is why all this foodstuff just add costs every day.

[CryptoHeadlineNews]

I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things
This thing Dy really make me struggle and look for means to earn in dollar.
Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

I'm always happy when I see people ask questions about what they don't know and wish to get clarify on issues that matters, hence, I will be throwing small light on how the price of dollar take affect locally made products such as Garri and beans.
So do you know that when the price of dollar increases, it always affect the price of fuel, which is an imported product, and when the price of fuel is increased, there is a high tendency for it to affect the price of transport fare, of which after the local producer may have paid a high price just to transport his Garri from point A to point B, such individual is force not to keep selling with old prievto increase the price  

[Marvelockg]

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Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

you know, the way the market system works is that almost everything is inter connected and once the price of one thing increase, it wfdecr the price of other commodities.

The most easy way to explain this is to that most times it's always when the price of fuel goes up that we experience increase in the price of goods and you know that we buy these fuel from outside the country and what is used in such transaction is basically the Dollar and so when the price of dollar increases, the price of fuel will also increase and and then the cost of transportation will top up which will now affect the price of even those locally manufactured goods. What would have made it easy for us to come out of the whole dollar crisis would have been I we have started refining out petroleum product by ourselves. But as long as we continue to import goods that we can produce locally, then we will continue to have his dollar crisiss.

Another thing is that you don't expect the local farmers not to increase the price of garri in the market when the money they normally use to purchase rice have doubled because of importation fees.

The business world is interconnected so ones you see a major item like fuel increasing in it price, every other commodity will join it in doing same.

[Marykeller]

I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things
This thing Dy really make me struggle and look for means to earn in dollar.
Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

I'm always happy when I see people ask questions about what they don't know and wish to get clarify on issues that matters, hence, I will be throwing small light on how the price of dollar take affect locally made products such as Garri and beans.
So do you know that when the price of dollar increases, it always affect the price of fuel, which is an imported product, and when the price of fuel is increased, there is a high tendency for it to affect the price of transport fare, of which after the local producer may have paid a high price just to transport his Garri from point A to point B, such individual is force not to keep selling with old prievto increase the price  

Em d pain to the heart sae the goods and services wey we d use for this our country is under the control of dollar, even the so called fuel wey get, is exported to another country to be refined and sent back to our country as imported project. What a shame em be that we no get a single refinery upon the billions of dollars wey our country the generates from our mineral resources, none is being save up to have my own refinery, even na one.

Dollar increment to naira don X(times) the product of everything to about X4, which don cause hardship give everyone for the country. Both the rich and poor are affected by it and nobody d exception for the hardship.

Few days ago, a peaceful protect was led in Minna concerning the hardship. Every soon other states go join to protest about the hardship. You know wetin em mean when all states begin to the complain of hardship happening in the country. It can lead to a coup, wey be sae military go fit take over the country.

I nutshell of the whole matter be sae, FG should do the needful before it is too late because nobody d happy for the country.

Links to Minna protect: https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://punchng.com/niger-protesters-lament-hardship/%3Famp&ved=2ahUKEwjTmOra8J2EAxVPVUEAHS1kBRYQFnoECC4QAQ&usg=AOvVaw14f2kB72Xj0GrnKWZKX_I_

Nigerians In Diaspora Join Agitations Against Hardship, Petition link: https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://saharareporters.com/2024/02/07/nigerians-diaspora-join-agitations-against-hardship-petition-tinubu-plan-protests-united&ved=2ahUKEwjTmOra8J2EAxVPVUEAHS1kBRYQFnoECCsQAQ&usg=AOvVaw0lpShAl4yyYx6Spg7XmhHz

[Nangiconference]

Thanks you all for your contribution. I got to understand that the whole thing centers on FUEL which is imported. Mind you, all aspect of business needs fuel in either transportation or production. But I noticed the way prices of goods and services increased recently however the pump piece of fuel did not change. It seems this measurement is not complementary and agreeing.
I can now explain it to people my graduate is not in vain any longer. I have "STUDIED TO SHOW MYSELF APPROVED".

[Stable090]

I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things

Most of the things we use in Nigeria are imported, the more dollar keeps on increasing the prices of things imported keeps on increasing, but if dollar dey drop, then prices of things go dey drop. Things produced locally are increasing because the tools and fertilizers even farmer’s are making use of are imported, and the prices are increasing, fertilizers and chemicals which they are using are imported, so they spend more money on getting those things, they spend more money on transporting their goods due to increase in fuel price, and after selling their farm products, they need more to buy some other things which they also need, and most of those things are imported so they will spend more.

And also the government should be blame, they don’t control price of goods in the country, they allow everyone to sell at any price which they want, so immediately one person increases price of a product, then others will also do so, and government won’t control them.

[casey15]

Most of the products that are used regularly are imported into the country.. and these transactions are done using dollar as the currency.
So when ever a merchant wants import goods into the country, he will have to change his naira into dollar and as the naira. Although the value of the dollar is unchanged bust as naira depreciates, the merchant will need more naira to be converted so he can make purchase. And the extra naira that he converted must be accounted for and he will have to make it back with profit... So he had no other option than to increase price of goods.

[Zanab247]

Dollar no suppose affect our naira in d country, assuming our leaders are doing d right thing to invest in d industries and some of d things we are using in d land b imported from other countries were dollars is d popular international currency dey are using for exchange for any kind of goods and services.

As long Nigeria are still using foreign products in d country, it will continue affecting our goods and services in d country until our government do d right thing to start investing on industries were manufacturers in d land can have access to Nigeria raw materials to produce goods to be in circulation and to reduce d price of d products in d market.

[Brainiac01]

Dollar no suppose affect our naira in d country, assuming our leaders are doing d right thing to invest in d industries and some of d things we are using in d land b imported from other countries were dollars is d popular international currency dey are using for exchange for any kind of goods and services.

As long Nigeria are still using foreign products in d country, it will continue affecting our goods and services in d country until our government do d right thing to start investing on industries were manufacturers in d land can have access to Nigeria raw materials to produce goods to be in circulation and to reduce d price of d products in d market.

I don't totally agree with you. Buhari and Tinubu somehow want us to product things ourselves. When Buhari called us lazy youth, it is because somehow (Buhari) want us to work sha... He lock the border to force do things.
Just me trying to see things differently.

[Frankolala]

Dollar no dey regulated for Nigeria, and that na why the price dey appreciate over Naira.

Secondly, dollar na the world reserve currency, wey be say as long as you won do any international trade, na in dollar una go negotiate, and get paid, because dollar get weight.

Nigeria produce wey them dey carry go outside the country dey very small, and the one wey we dey buy from outside the country come inside the country for consumption dey very high. This thing come make oyinbo no fit negotiate well with Nigerians to see say our Naira no depreciate, because na how you take contribute your resources to help other countries for the world, na e go determine the value of your currency.

When them bring in these goods to our country, people wey buy go increase the price. If say Nigeria fit fix our refineries fuel problem no go fit make things cost again, but another factor fit make things cost.

[Uhwuchukwu53]

Dollar rise affact Nigeria because we are a net importing nation and dollar is the main currency used for international trades. Virtually everything we use in Nigeria is imported and you need dollar to import the goods. Assuming we are producing most of our things then there will not be too much dependence on the dollar.  This is the simple explanation as to why the rise of dollar affects our local currency so much.
One thing you should also know as to why the rise is so rapid is because our practices here creates unnecessary scarcity of the dollar. When an Igboman want to bring in container and there is no dollar for him to pay and do that, he will go to the black market and buy at any price, the Aboki at that end will increase his exchange rate for quick profit, na so the price go dey rise dey go.

Odohu I really beacon and concur to this your explanation nothing  comot from these real issue of the naira fall and cost of price of things, the country import everything including the least toothpick. But there is something  I want add up here our nation here citizens are greedy mostly our investors and traders they have form all manner of union just to purnish the common man, of a Truth we import but there are some food we don't I can vividly say that our people here in Nigeria is too greedy of much gain, example during the festival period been the Christmas you hardly afford onion we don't import onion but the people halwd it for much gain, what if garri, yam and other food items are fully produce here but is not affordable. One thing I see is just that our government don't have good policy to control the market here one organization will just wake up and increase price of food without any government to stop them that is the reason everything is tide to Dollar even when is not imported.

[rachael9385]

One main reason why good in Nigeria is affected by dollars is because of fuel and other imported goods but keep the imported goods aside, let's talk about fuel, when fuel high in our country the sellers both wholesalers and retailers also add more prices to the goods that they bought and there are also marketers who are more greedy than others they will add money on their own because fuel price is also high and when they want to transport the goods they will want to play brain for vehicle guy to reduce the price for transporting the good but some of these drivers do reduce money for the transportation because they also feel for the business people a little.
But when they arrive to their business places they will add times 1 and a half or 2 to there good including those who's drivers didn't charge big fees for transporting their goods which is not helping.
But funny enough that the price of fuel is what triggers many business people to increase the price of their goods and one thing that annoys me is that the government aren't saying anything to help the matters and even if they are saying something about it, they ate not putting them to actions which makes then not helping matters at all.

[Promocodeudo]

My country people, I greet Una o. Abeg I go school graduate o but e get one thing wey I Neva really understand and I believe say the forum na the best place to ask the question. I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things
This thing Dy really make me struggle and look for means to earn in dollar.
Abeg I Dy wait for replies if possible use graphics, practicals, example and illustration anyhow wey I fit use understand am.

This has been said severally, Nigeria is a consumer nation, even things that we can produce here are been imported, just imagine going to purchase goods from another country, you will have to buy dollar first before they can allow you to do such, even in Nigeria here import duty is been paid in dollar, somewhat do you expect, another aspect is hodling of dollar by our politicians, if a thorough search is been conducted in must of our politicians house, the amount of dollar that we will see will surprise many of us, and again if someone import goods to Nigeria in dollar, you don't ecepevt such person to sell at a cheaper price a few paying a high import duty and clearance fee.

[SmartGold01]

Normally anything we no dey important no supposed dey expensive why because those things we dey produce am here locally but they only wey I think this things take increase na transportation. Imagine say fuel na 660 or 680 per littr and you wan carry goods from East to west and you know how much you go spend to take transport am only that alone self supposed make those small things dey expensive.

 Naturally no be dollars dey cause am na just fuel and transportation if you say you no wan enter public vehicle then carrying your personal car is the worst because fuel wey you go take fuel send your goods across the state alone self don dey equivalent as dollars price whereas everybody come dey put am for dollars head. na just few things dollars dey control.. but we wey be 9ja wey dey always take opportunity of any small thing wey go affect we country.

[EL MOHA]

This has been said severally, Nigeria is a consumer nation, even things that we can produce here are been imported, just imagine going to purchase goods from another country, you will have to buy dollar first before they can allow you to do such, even in Nigeria here import duty is been paid in dollar, somewhat do you expect, another aspect is hodling of dollar by our politicians, if a thorough search is been conducted in must of our politicians house, the amount of dollar that we will see will surprise many of us, and again if someone import goods to Nigeria in dollar, you don't ecepevt such person to sell at a cheaper price a few paying a high import duty and clearance fee.

Exactly, the way naira is been presented is actually what affects it. Naira isn’t treated as a currency that should be regarded for storage. This can be done just as you said by not only using the dollar currency for every transaction but also the naira should be used. Imagine having to sell our crude oil to another country using another currency which is not suppose to. You need to give people reason to hold your own your own currency before it generates value.

Another reason why Naira also depreciates is the excessive printing of its paper money, most top currency in the world mostly put regulations in the number that should be printed so as to have a limited number of that currency but that is not it.

As to OP what actually set the price of things high when there is always dollar price increase is sometimes people selfish interest there are some markets that dollar hasn’t actually touched but they are increased due to others increasing there’s and not necessarily the dollar affecting it

[Dzwaafu11]

I'm always happy when I see people ask questions about what they don't know and wish to get clarify on issues that matters, hence, I will be throwing small light on how the price of dollar take affect locally made products such as Garri and beans.
So do you know that when the price of dollar increases, it always affect the price of fuel, which is an imported product, and when the price of fuel is increased, there is a high tendency for it to affect the price of transport fare, of which after the local producer may have paid a high price just to transport his Garri from point A to point B, such individual is force not to keep selling with old prievto increase the price  

You are right. When the price of fuel increases, every single thing in Nigeria gets an increase in price, whether the imported goods or things that have been produced here. Petroleum is an imported product, and the reason why it affects everything is because the fuel is what the traders and businessmen and women will use to bring those things into the market to sell or buy, so since it’s a business and every single thing you spend must be calculated in order to know how much you spent and how you are going to sell and get your profit, you can see that there must be a high increase in the price of those things.

However, if you look at it since the price of fuel has increased, everything is costlier in Nigeria, so when the dollar rate gets high, things become worse for the citizens because most investors that buy something from foreign countries use dollars to purchase those things. You can see that if they bring them here to sell, they will also add some money so that they will also gain.

[Gozie51]

I wan really ask how dollar wey oyibo Dy use Dy take Dy affect the prices of goods and services for our country because if to say na only goods wey dem import I for say na the exchange rate when making payment but how e take affect things wey we they source raw materials locally come produce here like garri, rice, indomie, cloths, and other things

As Nigeria dey so now, na two things dey make price high and them be fuel price and dollar to Naira exchange rate. Okay for the fuel price now, when transportation put money because of say transporters buy fuel high so market people too go add money for wetin them too dey sell because them need to cut cost too, nobody want gree for anybody.

For dollar own nko, we sabi say naija no dey produce something and so most of the things wey we dey use na by import and you have to buy dollar to do that so it gives dollar more value than Naira plus the politicians wey dey store dollar for their houses. Some politicians and governors no dey use naira but dollars and that further weakens the Naira. Some countries wey dey serious dey use their currency for anything dem want do.

[Hyphen(-)]

Thanks you all for your contribution. I got to understand that the whole thing centers on FUEL which is imported. Mind you, all aspect of business needs fuel in either transportation or production. But I noticed the way prices of goods and services increased recently however the pump piece of fuel did not change. It seems this measurement is not complementary and agreeing.

Not just Fuel per se. Most of the increase in prices are also associated with inflation, although fuel subsidy removal was the initial backbone for all these because it also affects the increase in Naira value, which means it contributed to the Naira devaluation since all businesses that need fuel need to convert their money to USD to buy fuel abroad.
This hardship we are facing is also based on our selfish interest; even some goods we do produce by ourselves are expensive just because of the trend of dollar price, and if we looked at the whole scenario, we the poor are the ones suffering from all these; nevertheless, we need to take serious major to bring an end to market price manipulation.