March 2023 Global Price Watch

In West Africa, staple food prices were stable. However, in Chad, prices increased atypically early due to reduced supply and insecurity. A scarcity of cash amidst the currency swap in Nigeria caused reduced market activities. Across the region, prices trended above the five-year average due to low carryover stocks, restrictions on cereal exports, high transport costs, and insecurity in the Sahel; while in the coastal countries, prices reflected the strong demand, elevated international prices, high production costs, and lower exchange rates – particularly in Nigeria, Ghana, and Sierra Leone.

In East Africa, staple food prices were stable or declined in most markets in Uganda, Somalia, Ethiopia, Kenya, and the key production markets in Tanzania, Sudan, and South Sudan. However, food prices were elevated, driven by below-average production, persistent currency depreciation, high global fuel prices, and localized insecurity-related trade disruptions.

In Southern Africa, maize prices were mixed in February, as the effects of positive harvest outlooks were offset by seasonal stock declines and shocks, including Cyclone Freddy, increased conflict in eastern DRC, and the drought in East Africa. Prices remained above 2022 levels due to increased production costs and currency depreciations across the region. Headline inflation surged across several countries in February, driven by increased transport costs and declines in foreign currency revenues associated with declining revenues from mineral exports.

In Central America, staple grains supplies were stable across the region due to sufficient carryover stocks and imports. White maize prices were stable, as increased production costs offset the effects of increased supplies from recent harvests. Red bean prices increased owing to a tighter regional supply, driven by three consecutive years of agroclimatic shocks. In Haiti, local food prices increased, driven by below-average winter harvests, fuel scarcity, and transportation prices. Despite currency depreciation, prices of imports were stable or declined due to increased supply as fuel availability improved.

In Central Asia, staple food price trends were mixed. Wheat flour remained stable in Afghanistan, Pakistan, and Kazakhstan in February compared to the previous month, driven in part by a strong harvest in Kazakhstan. Meanwhile the price of rice increased in Pakistan and in Afghanistan increased only two percent, a slow in the growth trend that started in October 2022. In Yemen, wheat flour continued to increase dramatically in Aden while it remained unchanged in Sana'a City.

International staple food markets were sufficiently supplied. Global staple food prices increased, crude oil prices decreased, and fertilizer prices decreased due to lower seasonal demand and global gas prices. However, prices remain above the five-year average.