United Nations
Information Centre | Nepal
Market Watch 38 February 2012
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Food prices regularly monitored by MoAC and WFP remained relatively stable over the past one month. National average price of coarse rice slightly increased by 2.2 percent to Rs.33.5 per kilo, while that of wheat flour nominally declined by 0.7 percent to Rs. 34.9 per kilo. Prices of black gram and broken lentil went down by 0.2 percent to Rs.109.8 per kilo and by 2.3 percent to Rs. 94.0 per kilo respectively. This decline is mainly derived from the decrease in prices of these commodities in the hill and mountain markets as a result of improved seasonal road access. The price of red potato has remained stable after a continuous decline since last two consecutive months. Compared to November 2011, most prices indicate an upward trend with few exceptions of coarse rice and red potato, while compared to February 2011, most prices show a declining trend except for an upward trend of soyabean oil and red potato. Compared to January 2012, most prices remained low in the hill and mountain markets, while in the major consumer and Terai markets, most prices showed a nominal fluctuation. In the five large wholesale markets (Birtamod, Kathmandu, Butwal, Surkhet and Dhangadhi) regularly monitored by FNCCI/AEC, most prices show an upward trend over the past one month. Nepal Oil Corporation (NOC) hiked again prices of petrol and diesel/kerosene from Rs. 112.0 and Rs. 81.0 per liter in January 2012 to Rs.116.0 and Rs. 85.0 per liter in February 2012 respectively. Continuous rise of fuel prices is a major concern as it is anticipated to contribute to an increase in transport costs, thereby raising food prices. According to the latest report released by the Nepal Rastra Bank in mid-January 2012, inflation has gone down to a four-year low of 6.8 percent, which was at 6.4 percent in February 2008. Such a record low is mainly contributed by the continuous decline in food prices. For instance, the index of food and beverage increased only by 4.0 percent compared to an 17.6 percent increase in the same period last year, while indices of cereal grains nominally increased by 0.6 percent. However, the index of transport increased by 17.1 percent compared to 11.1 percent in the same period last year.

#MarketWatch #FoodSecurity #NationalMarketDevelopment
Publisher:
WFP, MOAC, FNCCI/ AEC, CIPF ,   (2012 )
Type / Script:
Bulletin or Poster in English
Keywords:
NATIONAL MARKET DEVELOPMENT, PRICE INFLATION, COMMODITIES CONTROL, FOOD SECURITY, SUPPLY, MARKET STABILITY, RURAL SOCIOLOGY, AGRICULTURAL POLICY, PRICE DISCRIMINATION, UNFAIR COMPETITION, MARKET DEVELOPMENT, CROP PRODUCTION
Thematic Group:
 WFP : Food and Emergency humanitarian logistict support
Thesaurus:
04.01.01  -  Agricultural Economics And Policy; Rural Sociology
Reference Link:
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