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 Mogadishu, (insidesomalia.org) - The price of essential food commodities are at highest for several years due to fighting in the capital during the past three months.
The price of a kilo of rice was 7,000 Somali Shillings before the start of the fighting in Mogadishu and now, over 15,000 Somali Shillings.
A can of instant milk imported from Europe is 20USD and a kilo of Pasta, a favorite dish for Somali families costs 23,000 Somali Shillings up from 7,000 Somali Shillings before the war broke out.
“Families eat once a day rather than three times” said Halimo Mohamed, a small scale business woman whose shop at the Huriwaa neighborhood of Northern part of Mogadishu hit by a mortar shell.
Now, she has nothing to feed for her family after her only business was collapsed and destroyed all by the fighting.
Few lucky families depend on getting few hundred dollars a month remittance from friends and families overseas. This money is engine of economy and live line for many who otherwise would not survive.
Steady supply of food and other necessities are normally provided by entrepreneurs who import from United Arab Emirates and India. It is a risky business as goods are delivered by small boats that are not sea worthy and added security risks getting goods to market. Despite these challenges, market has been flourishing and few shrewd business persons have become wealthy.
The recent fighting has made conditions worse for many who rely on providing labor generated transporting, security and being middle man in selling goods. However, with regular closure of Bakaraaha (biggest market) and people fleeing capital, it has let to shortage of food which has resulted in food prices rocketing.
The low income families suffer, ‘ I have nothing to do, I was a porter, now, nothing to carry in Bakaraaha, business is locked up, no penny to feed for my family’ said Mahdi Omer.whose family of four did not eat since the last 24 hours as he insisted. The average income of the Somali Family is less than One Dollar per day.
Inflation is higher due to the value of the Somali Shilling dropping against US Dollar. This is impacted further by globally by US Dollar’s drop against other currencies which has pushed prices at least 10% higher.
The TFG government does not control price fixing of the essential commodities such as food oil for the transport. Nor does the government have ability to collect revenue.
Since the 16 years of the civil war, Somalia’s main exports commodities such as livestock, Banana and hides and skin has disappeared.
“Economic reforms are the most important job waiting for the new government led by the new Prime Minister Nur Adde” said Ahmed Mohamed, an economist based in Mogadishu.
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