Mealie-meal prices to increase in January

THE Indaba Agricultural Policy Research Institute (IAPRI) says mealie-meal price is anticipated to increase by at least 10 percent by January 2014.

A MSU AFRE food security international newsletter says:

“Mealie-meal price is likely to increase by at least 10 percent by January 2014, and the poor are likely to be the worst affected by the price rise and this is likely to reduce mealie-meal consumption,” IAPRI said.

It says among the policies to be realised are the need to implement strategies that will significantly increase mealie-meal consumption among the people, such as social cash transfers for the poor, work for food programmes and employment programmes.

Currently, about 60 percent of the urban population does not have sufficient access to mealie-meal.

IAPRI notes that Government needs to estimate the effects of food price changes on different sub-populations.

The institute says Government should not use ‘the one price fits all’ as this strategy may disrupt the market, and may fail to have the desired effects on prices.

“Reliance on one size fits all approaches may be the result of insufficient information about future market prices and their effects on different sub-populations,” IAPRI said.

IAPRI, however, says unanticipated food price rises can have negative political and economic consequences.

Currently a 25 kilogramme bag of mealie-meal is fetching between K60 and K65 in some parts of Lusaka and K90 in some parts of the country.

When the PF took over power, a meallie meal bag was going for K35, 000 or k35 rebased

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