Steps taken to investigate the price behavior
:
Observing a price pattern like the one presented above is not unusual. The important
issue to determine is whether the price behavior will have a negative impact on food
security. Again, a review of the production, consumption, and marketing patterns (both
domestic and external) provide some insights to whether the price behavior in the Kasese
Market is problematic. This market is in a surplus producing area of Uganda and is
located near the Rwanda border. Upon investigation it was determined that the increase
in prices does not show a food availability problem in this area. The reason for the
increase in prices is a result of maize purchases that were to be exported to Rwanda. The
exports had the result of bidding up the price of maize.
Action taken/follow up
:
After explaining the price pattern and that the behavior was not problematic for local
food security, there was no action taken.
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