The prices of several commodities particularly vegetables are set to increase in October this year, a recent report by the Central Bank of Kenya (CBK) shows.
According to the Agriculture Sector Survey for September 2024, the prices of tomatoes, carrots, kale, spinach, vegetables and green maize are set to increase in the coming weeks. Other commodities whose prices were tipped to rise include a kilogram of onions and tomatoes.
The potential increase in the prices of the above commodities was mainly pegged on the upcoming short rains which are set to begin in mid-October to December this year. The survey revealed that the short rains could immensely hamper food production in the country.
Another reason for an increase in food prices was due to an increase in global oil prices triggered by the escalating Middle East conflict.
Increase in transport costs, disruptions in the supply chain and distance to the market were also listed as other factors that will contribute to the high prices.
However, it is worth noting that despite the projected upticks, the prices remain relatively lower compared to last year.
Meanwhile, the survey also revealed the price of non-vegetable items such as wheat flour, maize flour, milk, rice and sugar were set to reduce in October. This was attributed to the surge in the supply of the above commodities in the market.
"On balance, the BOO points to an expected general decline in prices of most non-vegetable food items one month ahead, that is, in October 2024. However, most respondents expect prices of most sampled vegetable items to increase in October 2024, largely reflecting seasonality," read part of the survey.
Lower Prices in September
While the prices of food items have been projected to increase in October, the CBK report revealed that prices in September were lower than expected largely due to an increase in output and acreage of most crops backed by above-average rainfall experienced in the first half of 2024.
Other factors that led to lower food prices in September include the availability of affordable and quality seeds, the cost of land preparation for the specific crop, expected returns as well and the requirements for crop rotation which is a standard practice to improve soil fertility.
"The favourable rainfall resulted in conditions that favoured the growing of fresh vegetables such as kales-sukuma wiki, cabbages, spinach, tomatoes, onions, potatoes, carrots, maize and beans," the report revealed.
Investment
The latest price projection comes even as the country prepares for the forming short rains which are set to begin in mid-October this year. The rains are expected to affect most parts of the country, particularly the Western region.
The government was urged to ramp up investments in climate resilience projects such as water harvesting and storage, early warning, and climate-smart agriculture to shield local communities from food insecurity shocks.
