By Jones Gadama
The Malawi Economic Justice Network (MEJN) has expressed optimism that the recent decline in maize prices will positively impact the country’s food inflation. According to MEJN Executive Director Bertha Phiri, this development will help curb and maintain inflation.
The price of maize has dropped significantly, from around K1,800 per kilogram in February to approximately K1,100 per kilogram in most Blantyre City markets.
The decrease in maize prices can be attributed to several factors. The start of the garden maize harvest by some farmers has led to an increased supply of maize available to traders, stabilizing prices.
Additionally, the Agricultural Development and Marketing Corporation (ADMARC) has played a role in influencing market prices, with sales documented in 22 out of 26 monitored markets.
The drop in maize prices is expected to bring relief to consumers, particularly considering maize’s significant weight in Malawi’s Consumer Price Index (CPI). As maize prices rise, the cost of everyday essentials tends to follow suit.
Consumer rights groups, like the Consumers Association of Malawi, have expressed optimism about the price drop, anticipating a lighter burden on consumers’ wallets.
Maize prices vary across regions in Malawi. The Southern Region recorded the highest average price at K870 per kg, reflecting a 12% drop from January’s K991 per kg.
The Central Region saw a steeper decline of 16%, with prices falling from K911 per kg to K769 per kg in February.
The Northern Region enjoyed the lowest prices, averaging K643 per kg in February compared to K710 per kg in January.
MEJN’s optimism about the price drop’s impact on inflation is rooted in the organization’s mission to promote economic justice and poverty reduction. By advocating for policies that support smallholder farmers and improve agricultural productivity, MEJN aims to contribute to a more stable and affordable food market.
The government can play a crucial role in maintaining price stability by investing in programs that improve yields and empower smallholder farmers.
Diversification of crops and improved storage facilities can also help mitigate price shocks and ensure a steady supply of maize throughout the year.
The decline in maize prices is a positive indicator, potentially leading to a reduction in flour prices.
The Minister of Agriculture, Sam Kawale, has promised a decrease in maize prices, and it seems he has been vindicated. As Malawi strives for long-term food security and a more predictable food price market, continued focus on agricultural production and market stability is essential.
The drop in maize prices is a welcome development for Malawian consumers.
With MEJN’s optimism and the government’s efforts to maintain price stability, there is hope for a more stable and affordable food market in the long term.
