Market Highlights
Prices of most food commodities in Juba increased slightly in the second week of May compared to the previous week except white sorghum feterita (grain) and Beans (janjaro), which jumped by 30% and 22% respectively. This is a result of the official currency devaluation policy since mid-December 2015 and increased dependency of markets by consumers in order to fill the food gap at the household level considering May as a lean season in the Central Equatorial region.
Although the prices of most commodities have either slowed down or remained stable in the recent weeks, they are still significantly high when compared with three months ago, same month last year as well as with the four year average.
The cost of living (measured by the Cost of Minimum Expenditure Basket (CMEB)) increased in May compared to the already high level of April 2016, after seven months to the peak devaluation (December 2015). At SSP 3,671.10, the CMEB is nearly four times its level in May 2015 and about six times the level two years ago. The increased CMEB in the second week of May, 2016 is in line with food price trends.
Due to the lean season food prices are volatile and projected to be significantly higher, inflating the cost of living at least up to the next harvests starting in August on account of lower harvest in the Central Equatorial region, tighter regional food markets, insecurity, disrupted trade flows, increased cost of imports and dollar shortages.