Why prices of key food items are rising rapidly

Dar es Salaam. Prices of major staple foods are soaring in the markets as the rainy season has started in many regions in Tanzania.

Beans, which are widely consumed in Tanzania, are now leading in price movements, having increased by at least 25 percent in the last three months.

A survey condueted in some markets and retail outlets in the city indicated that beans are currently retailing at between Sh3,000 and Sh3,200 per kilogramme, up from Sh2,400 recorded in October.

Rice and maize are also experiencing increased prices although at a slower pace in recent months, according to dealers.

Traders say it’s a common volatility fueled by the seasonality - and, of course, high demand following year-end festivals.

They also say the limited supplies experienced in the markets have nothing to do with food availability in the country.

“As for beans, it’s not unusual for prices to rise and fall. In the last three months, we have been experiencing supply constraints, and that is why prices are also going up,” said Mr Adan Msury who trades in cereals at Temeke’s ‘Double Cabin’ market.

“We hope prices will start falling in January because new harvests will have started in places like Kagera Region and, therefore, increase supply,” he added.

“The funny thing about beans is that its price can go up in like three months and fall abruptly. That’s whereit eats into our capital,” he said.

The traders also say the ongoing rains may have contributed to the price increases in the sense that transporting the produces from upcountry to markets has become challenging.

“Tanzania has plenty of food; but the challenge might be in transporting it from other regions due to heavy rains which disrupt transportation in rural areas,” said Mr Mohamed Mwekya, a trader at Tandale market.

“We should also understand that the stocks of foods crops were now on the hands of middle men or traders who are holding until they see the prices are giving them better profits,” said Mr Mwekya.

According to him, this is a temporary situation which may end in the next one or two months.

Mr Tabran Shabani who sells maize flour at Manzese market says the produce prices were going up to Sh1,000 per kilogramme before processing.

“This is one of the toughest periods in the season as prices go up due to limited supply. A lot of milling machines have been switched off around Manzese due to the fact that you need to be very careful to continue operating,” he said.

“From my experience, prices of maize will continue going up until end of February when places like Kahama start supplying again,” he added.

He sells maize flour at Sh35,000 per 25kg bag and retail outlets are selling at Sh1,600 per kilogramme in some areas.

Rice is not spared in the price growth with prices ranging between Sh1,700 and Sh2,300 around Mbagala.

“Currently, I’m depending much on the supply from Mbeya and prices are going up,” said Mr Ali Omary who sells cereals at Mbagala.

“I think prices will continue increasing until around March when new stocks start getting into market from the Lake Zone areas including Shinyanga,” he said.

Reports from Kariakoo Markets indicate that prices have drastically changed over the year in all major food crops. For instance, wholesale maize prices recorded on December 28 last year were between Sh47,000 and Sh60,000 per 100kg sack and increased to between Sh85,000 and Sh87,000 on December 23 this year.

Rice increased from between Sh130,000 and Sh180,000 to between Sh170,000 and Sh250,000 per sack. Beans also increased from between Sh180,000 and Sh200,000 to between Sh230,000 and Sh270,000 per bag.