How to Price Your Products When the Naira Moves

If your costs are dollar-exposed but you sell in naira, a falling naira can wipe out your margin between buying stock and selling it. Pricing well is about building the exchange rate into your numbers, not discovering it after the fact.

How to price with the rate in mind

• Cost at the real rate — use the market rate you can actually replace stock at, not an old one.
• Build a buffer — a margin that absorbs a reasonable rate move.
• Reprice in steps — small, regular adjustments beat sudden jumps that shock customers.

Protecting the margin

Pricing is one tool; managing the exposure is another — see hedging FX risk and surviving naira volatility. Know which of your costs move with the dollar, price for replacement not purchase, and your margin survives the volatility that catches competitors out.