KEY POINTS
- A shortage of sugar has been observed since August 2022 on the markets of Djibouti-ville and some interior regions such as Obock. According to the Djiboutian Information Agency (see HERE), it follows the lack of this product on the world market due to export restrictions by certain producing countries such as India and Brazil. Indeed, with the advent of the war between Russia and Ukraine, the international prices of most basic food products have increased and some products have experienced temporary shortages, such as flour and sugar.
- At the national level, the shortage led to an increase in the price of sugar of up to 30% in Obock in August 2022, and 13% in Djibouti-ville and Dikhil. For other foods, the price increases mainly concerned pasta and vegetable oil in August 2022. In particular, the price of pasta increased by 71% in Arta, which also increased by 71% compared to and that of vegetable oil by 11% to Ali Sabieh. For non-food items, the price increased by 20% in almost all regions.
- In general, inflation in August 2022 decelerated but remained high (+5.9% according to: INSTAD). The government has taken steps to ensure the regulation of the supply of sugar to the market, in order to put an end to the disturbances. On the other hand, in order to avoid any shortage of essential products, measures have been taken to protect Djiboutian households. It is planned to provide our country with a strategic stock of foodstuffs to cope with the volatility of prices on the domestic market and guard against any shortages, as well as to strengthen social safety net programs and food aid to mitigate the impact of rising food prices on the poorest populations.
- As for the WFP’s full food basket, it costs 35% more in August 2022 than last year in Obock, where refugees from the Markazi camp usually get their supplies with their SCOPE card. This increase results in particular from the increase to 43% in the cost of cereals such as rice and sorghum, and also from the increase to 50% in the cost of sugar. In three other regions (Tadjourah, Ali Sabieh and Arta), the increase in the cost of the basket is around 24% and 29%, again due to the increase in the price of cereals (+32-45%) and the price of sugar (+25-42%).
Source: World Food Program