Food Prices Rise before Festivals

Sabika Shrestha/Pawan Barsha

As the festive season approaches, prices of daily essentials in Nepal tend to rise without apparent reason. This time too, prices of rice and other food items have gone up. According to traders, the price of a sack of rice has increased by 400 to 800 rupees in recent times which are equivalent to 4.19 to 8.38 USD. During on-site reporting, we found that prices of not only rice but also other food items had increased.

A significant price difference was also found between the open market and government-owned food outlets. Consumers have to pay at least 2.6 to 3.2 USD more for the same sack of rice in the open market than at government outlets.

The price hike ahead of the festive season has placed an additional financial burden on low- and middle-income consumers. Consumers say the continued rise in prices is making it increasingly difficult to manage their daily expenses.

However, traders deny deliberately raising prices. They say recent floods and landslides have disrupted transportation after highways connecting Kathmandu Valley were blocked, affecting the supply of goods.

They claim that higher transportation costs have consequently pushed up food prices. However, prices in the market had already started rising before the disruptions.

The price rise is not limited to rice. Prices of cooking oil, pulses, legumes, flour and fruits have also increased.

These items have reportedly become 10 to 30 percent more expensive in recent times. With prices of daily essentials continuing to rise, low-income households and daily wage earners are bearing the brunt.

Consumers complain that such problems recur every festive season because of inadequate market monitoring and unjustified price hikes made by taking advantage of increased demand during the festive period.