FOOD prices could rise in Fiji as developing El Nino conditions affect local food production and increase the cost of imported goods.
The Fijian Competition and Consumer Commission (FCCC) has warned consumers and businesses that drier conditions over the coming months could reduce agricultural output, that will place upward pressure on the cost and availability of food, freight and other essential goods.
Sugarcane has been identified as particularly vulnerable, while crops including rice, cassava and dalo could also be affected.
“Fiji’s experience during the 1997/98 drought showed the potential scale of the impact, with research recording a 50 per cent reduction in the sugarcane harvest and complete crop destruction in some areas,” the commission said.
“A decline in local production could also increase demand for imported food and other substitutes, putting further pressure on supply, freight and landed costs.”
The commission said international product prices, freight and logistics costs, and elevated fertiliser costs could add to pressures on prices of imported food and groceries.
However, it stressed that higher prices during the dry period would not automatically amount to price gouging. “Prices will move during this period, and much of that movement may reflect genuine costs. The Master Price List for basic food items, pharmaceuticals and petroleum products remain fully applicable, while consumers should report suspected deliberate stock withholding or unexplained price increases.”
Fiji Meteorological Service director Misaeli Finaki said the Government was already working through its drought plan, with meteorological officials monitoring rainfall and informing Government and other stakeholders.
He said agencies, including the Department of Lands, Water Authority, energy and agriculture sectors, were monitoring impacts on the ground.
The information was then being brought together through the National Disaster Management Risk Office to determine the Government’s response.
