AGRICULTURAL MARKET INFORMATION CENTRE
MARKET DEVELOPMENT DIVISION
MINISTRY OF AGRICULTURE; FOOD AND FISHERIES
Tel. (01) 252509/250745 Fax (01) 252509/250745/250417
E-Mail: [email protected] or [email protected]
As at 21 January 1997
Week No. 3
January 1997
FACTS ON MEALIE MEAL PRICES
Prices for all varieties of mealie meal have, overall, remained stable over the past week, while average mealie meal prices of this month show a slight increase compared with those of December last year. For breakfast meal, prices for a 25kg bag range from K.8,500 in Kabwe to K11,625 in Kasama. In Lusaka and Ndola, prevailing average breakfast meal prices are K10,000 and K.9,100 resp. The average price of this month compared to that of December 1996, shows an increase within the range of 2 -5 %, with fee exception of Lusaka, where an increase of 14% is recorded, and Solwezi and Mansa, where prices slightly declined. Prices for roller meal this week range from K6,500 in Kabwe to K9,200 in Kasama. In Lusaka and Ndola, prevailing roller meal prices are K7,500 and K7.800 resp. The average price of this month compared to that of last month, shows an increase within the range of 3 - 9%, with the exception of Chipata where prices remain stable. For 'hammer meal', estimated prices per 25kg, inclusive of a service charge for milling., range from K4,100 in Choma to K6,650 in Ndola. The average price of this month compared to that of last month, shows a general decrease, with the exception of Ndola, Chipata and Choma, where increases of resp. 3.7%, 4.2% and 11% are recorded. In general, the above prices for mealie meal rather move below the levels expected for this time of the year. First, current real prices of breakfast and roller meal are, in absolute terms, still significantly below those of January '96, '95 and '94. Second, nominal and real prices are still far below levels that can be expected on the basis of average seasonal price variations.
RUMOURS ON MEALIE MEAL PRICES
The sudden attention the issue of mealie meal prices gets in the press, claiming that these prices are far too high, is very unfortunate since it cannot be substantiated in any way on the basis of data received through the Agricultural Market Information System, further analysis of existing price series, or information received from other reliable sources like, for instance, the ACE. The source that seems to have been responsible for the rumour of hiked mealie meal prices and the attention the subject has since gained in the daily press, has been an item in one of last week's news items of ZNBC. The news item mentioned that prices of breakfast meal had increased with K3.000 to some K12.000 per 25kg bag at some places in Lusaka. Apart from not giving a realistic picture by quoting the average recorded price of breakfast meal in Lusaka, the traditional use of the price of breakfast meal as a general reference for the level of food prices doesn't seem to be appropriate when some 70-80% of the population relies on other varieties of mealie, i.e. 'hammer' and roller meal.
It is unfortunate that the press reports have appeared at a time that the whole maize market is, if anything, moving very smoothly. In general, this is to the benefit of all market participants, i.e. traders, farmers and consumers. It can only be hoped that the same reports will not prove to become 'self-fulfilling' as that might unnecessary disturb the market, prove to be detrimental to the market participants at large and, worse, ultimately lead to a loss of confidence among the traders and farmers in the operation of the market.
Prevailing Retail Prices and Supply Assessments of Selected Commodities
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Notes: |
1. S = Supply Assessments: 1 = Abundant; 2 = Good, 3 = Fair; 4 = Limited: 5 = Not Available. |
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2. nir = No Information Received for this week. |
World Market Prices of Selected Crops (US$/MT)
As at 16 January 1997
|
Commodity |
USA |
Argentina |
Canada |
Chig. Fut. |
|
Maize (Yellow No.2) |
121.45 |
107.87 |
|
101.77 |
|
Wheat |
177.01 |
149.00 |
262.25 |
143.02 |
|
Sorghum |
112.44 |
|
|
|
|
Soybeans |
289.99 |
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Notes: |
1. All prices are quoted Free On Board (fob); |
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2. Source: GIEWS/FAO/Rome |
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3. nir = No Information Received for quoted date. |
Ocean Freight Rates Heavy Grains (US$/MT), Chartered Vessels
As at 10 September 1996
|
Dest. |
USA |
Argentina |
Canada |
Australia | ||||
|
Mozamb. |
45.00 |
a |
|
|
|
|
|
|
|
RSA |
32.00 |
a |
22.00 |
b |
23.00 |
b |
17.00 |
b |
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Notes: |
1. All Freight Rates exclusive of insurance: |
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2. USA: Atlantic/Gulf Ports; Canada: Atlantic Ports; |
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3. nir = No Information Received for quoted date; |
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4. a = vessels 75-25,000 MT: b = 25-40,000 MT. |
Prevailing Wholesale Prices at the Agricultural Commodity Exchange (ACE)
Lusaka, as at 21 January 1997
|
COMMODITY |
Kg |
BID |
OFFER |
|
White Maize (cash) |
90 |
15,500 |
16,000 |
|
White Maize (14 days) |
90 |
16,000 |
17,000 |
|
White Maize 130 days) |
90 |
npb |
npo |
|
Sorghum (red) |
90 |
13,000 |
16,000 |
|
Sorghum (white) |
90 |
12,500 |
npo |
|
Millet |
90 |
npb |
npo |
|
Mixed Beans |
90 |
npb |
50,000 |
|
Soya Beans |
90 |
35,000 |
36,000 |
|
Sunflower (black) |
50 |
11,750 |
12,000 |
|
Sunflower (striped) |
50 |
npb |
npo |
|
Wheat |
90 |
36,000 |
38,000 |
|
Gr. Nuts, shelled (Cha) |
80 |
npb |
75,000 |
|
C-Compound |
50 |
npb |
npo |
|
D-Corn pound |
50 |
21,000 |
21,500 |
|
X-Compound |
50 |
npb |
npo |
|
Urea |
50 |
22,800 |
23,200 |
|
Grain bags (Poly) |
pp |
900 |
1,200 |
|
Grain bags (Jute) |
pp |
1,200 |
1,300 |
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Notes: |
1. npb = No Price Bid; npo = No Price Offer: |
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2. Bid price is the best buying price; |
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3. Offer price is the best selling price. |
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COMMODITY HOT LINE | |||
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Commodity |
QTTY |
Price/90kg |
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Offers: |
White maize |
500mt |
K17,500 (ex-Mkushi) |
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White maize |
900mt |
$150/mt Mazabuka |
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Bids: |
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Zambian kwacha
Thousands
white maize prices at the ace (lusaka prices, cash)
Contact the ACE at P.O. Box 30395, Lusaka
Tel: 228881/2, Fax: 222736/223249, Tlx: 40164 ZA
Retail price development of breakfast meal (ZK/25kg)
