The report jointly published by World Food Program (WFP), Department of Agriculture (DoA), Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and Consumer´s Interest Protection Forum (CIPF) showed retail price of food commodities have followed upward trend until June of fiscal year 2012/13.
According to the report prices of consumable goods like rice, potato, flour and edible oil have gone upward as food supply decreased in many parts of the country due to frequent obstruction of roads and trails, particularly in hilly and mountain regions.
The data shows price of coarse rice went up by 5.4 percent to Rs 40.9 per kg, while pulses such as black gram and broken lentil have marginally increased by 1.5 and 0.4 percent. Price of edible oil has also showed a marginal increase, while the price of red potato went up sharply by 18.7 percent due to the onset of the lean season.
The report states that price trend in the regional markets followed the same trend as the national market. The price of coarse rice, for example, increased by 11.4 percent to Rs 39 per kg in Nepalgunj and by 16.7 percent to Rs 35 per kg in Biratnagar.
The price of broken lentils increased by a higher rate in the major consumer markets of Kathmandu and Pokhara compared to Tarai and hilly areas, the report states.
The report also showed seasonal fluctuation in the wholesale price of fresh vegetables and fruits at Kalimati fruits and vegetable market. Over the period, the prices of cabbage, spinach, dry onion, carrots and apple continued to rise, while the price cucumber, pumpkin and mango declined by more than five percent.
According to the report, obstruction of roads due to flood in major supply areas has partially or fully hindered the supply of food commodities. This has resulted in depleting food stocks in the major supply chains as Darchula and Khalanga.
Moreover, the report stated that the prices of commodities are likely to soar in future along with continuous appreciation of US dollar against Nepali rupee. As per the report, huge amount of commodities are imported from different South Asian and European countries in Nepal.
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