Staple grain prices remain high despite the flow of national harvests

The demand for agricultural labor in rural areas and the gradual recovery of the economy and employment in urban areas continue to improve food access. Nevertheless, high prices of fuel, transportation, and food are limiting the purchasing power of poor households, resulting in Stressed (IPC Phase 2) outcomes through January 2022. Beginning in February, elevated prices and a high dependence on the markets will cause an early start to the lean season and a deterioration to Crisis (IPC Phase 3) outcomes for many poor households. In areas of the Dry Corridor, Altiplano, and those affected by hurricanes Eta and Iota, poorer households’ income will be insufficient to recover livelihoods lost, for which they will be classified in Crisis (IPC Phase 3) through May 2022.

Although staple grain prices saw a typical seasonal decline, influenced by the arrival of primera harvests, they remain between 15 and 20 percent higher than last year and than the five-year average. In the third week of November, maize and bean prices registered new increases of 10 and 12 percent, respectively, as compared to the averages for October. This is due to the continuous rise in prices of fuel and transportation, as well as to irregularities in grain imports from Mexico and to the recent demonstrations and roadblocks, which interrupted the passage of cargo to main markets.

November marks the end of this year’s rainy season, which was characterized by its erratic behavior. Irregular distribution and reductions in rainfall affected postera crops, mainly beans, among subsistence farmers in lower elevations in the eastern Dry Corridor. The typical season of cold fronts is beginning, which is expected to be slightly above normal through February or March 2022. Intense rainfall associated with these cold fronts has been registered, causing localized flooding in the Northern Transversal Strip and in Peten.