GENEVA, Switzerland, July 22, 2020/ — Overview
• According to the behavior of basic food prices in June, important variations were detected in urban markets monitored by INFOCOM and rural markets monitored by SIMA (maize grain, manufactured corn flour, imported rice, butter beans, vegetable oil and sugar);
• In some rural markets monitored by SIMA, there were pronounced decreases in the average price of butter beans (33.3%) and maize grain (20%), which can be explained by the availability of these commodities during this season (i.e. the beginning of the harvest season mainly in rural areas of Mozambique);
• Prices of imported goods such as imported rice and vegetable oil increased in some markets. This can be partly attributed to the continued depreciation of the metical against the USD. On the other hand, weekly prices of maize grains, butter beans and brown sugar have been decreasing/stabilizing in many rural markets and urban areas;
• Formal and informal imports (commonly called mukheristas) mainly from South Africa are being negatively affected by travel restrictions due to the COVID-19 pandemic. The border closure with South Africa continues to constrain the supply of Mozambican markets, thereby resulting in an upward pressure on prices.