Naira Scarcity: Bauchi Traders Desert Markets, Count Losses

The scarcity of new and old naira notes has forced some traders at the weekly Misau Market in Bauchi State to sell their goods at cheaper rates while others sold theirs on credit, a development that could spell doom for them, LEADERSHIP can report.

The market which is held on Fridays usually hosts hundreds of traders and their customers. Major goods sold at the market are grains and livestock.

Malam Musa Mai Wake, a grain dealer, said it was the second time the market would experience such declining patronage since the Central Bank of Nigeria (CBN) introduced a change in high denomination naira currencies — N200, N500 and N1,000 respectively.

“Every week I used to visit this market, but today is the worst outing for the market,” Musa told LEADERSHIP.

“Some of us that came last two weeks hoped it would be better on the next market day. But to our greatest surprise, the market is being deserted.

“Look at the grain section of the market that used to have not less than a thousand bags of assorted grains; now we only have 20 to 30 bags of only millet and guinea corn,” he continued. “These people are not willing to sell their products unless you give them money hand to hand as they don’t accept bank transfers.”

Musa said traders are incurring debt as prices of goods are falling drastically. This, he said, was a result of the demand for cash.

“The prices have fallen,” he said. “A bag of millet is now N16,000 against N20,000 of the actual price we bought before the naira change problem. We are selling at loss and this is a serious setback for us. Imagine the huge loss we are counting and we don’t know what will happen in a few days as the market price keeps on dropping every day.”

He said some traders sold their goods on credit while others took theirs home amid scarcity of both the new and old naira notes.

“I sold two bags of millet on credit pending when the person has cash at hand, I don’t accept bank transfers because I don’t know where to get the cash to buy the product from the local people,” he stated.

“This policy has ruined our business; we are appealing to the government to look at ways of making these naira notes available because the local people whom we buy the products from are not banked.”

The situation is the same at the livestock section of the market where traders were seen stranded, waiting for customers with cash and not minding whether it is new or old notes.

Sulaiman Tela, a leading livestock trader, told LEADERSHIP that he was surprised at first when he saw few people at the market.

“At first, I thought that it is the weather that prevents people from arriving at the market, but I later realised that the market will go on like that because only a few livestock were brought in and the traders will categorically tell you they are not accepting transfers except cash. These people are selling their animals at lower prices because they don’t have another alternative,” he said.

An official of Misau Traders’ Union who pleaded anonymity said the problem has been compounded by banks for not making the cash available.

“The ATM machines are filled-up with people. You have to wake up by 3:00 am to book a line at the ATM and sometimes you may not get it,” he said. “Even if you are lucky the maximum you will have is N20,000 per day. Even the PoS centres are not having the cash too,” he added.