Posted on September, 13, 2018 at 09:22 am
By Racheal Nabisubi
Markets
Data from the Uganda Bureau of Statistics (UBOS) indicates annual headline inflation rose to 3.8% for the year ending August 2018 compared to 3.1% recorded during the year ended July 2018, consumer price index report (CPI) states.
The report further states that on a monthly basis, headline inflation for August 2018 has been recorded at 0.9% increase from the 0.4%rise recorded in July 2018.
UBOS principal statistician Vincent Nsubuga said the increase in the monthly headline inflation was due to the monthly food crops and related items inflation that registered a 1.8% rise in August from the minus 7.1% recorded in July.
“The main driver was monthly vegetables inflation that registered an increase of 1.0% during the month of August from the 6.4% drop recorded for July,” read the report.
In addition, fruits inflation rose to 2.4% during August from the minus 9.8% recorded for July.
“Monthly increases were noted in prices of; meat by 10%, pork 3%, fresh milk 4%, citrus fruits 6%, banana (matooke) 3%, passion fruits, mangoes and pineapples 7%, leafy vegetables 12%, potatoes 11%, sugar 8%, coffee 3%, baby foods 4%, tobacco leaves 15%, tertiary education 3%, liquid fuels 3%, manufactured goods such tyres and second-hand vehicles 4%,” Nsubuga said.
Currently, meat costs sh15000, offals cost sh18,000 and liver costs sh8000 from sh10,000, sh15,000 and sh5000 respectively.
Three pineapples cost sh10,000 while four small mangoes cost sh3,000.
Irene Kalanzi, a resident of Ggaba in Kampala, attributed the rise in prices of meat to quarantine.
In March 2018, New Vision online published a story titled 'Lyantonde struggles to control animal diseases'.
The district was trying to contain the prevailing foot-and-mouth disease due to uncontrolled livestock movement, slaughter and sell of different animal products.
Foot-and-mouth disease is an infectious and sometimes fatal viral disease that affects cloven-hoofed animals, including domestic and wild animals.
Its outbreak was announced in October 2017 in the districts of Lyantonde, Sembabule, Luweero, Nakaseke, Nakasongola, Mubende, Kiboga, Kyankwanzi, Bushenyi, Ntungamo, Sheema and some parts of Karamoja.
As a result of the infectious disease, the agriculture ministry then issued a directive restraining further movement of animals and their products, fearing severe consequences.
According to the ministry and a Uganda Bureau of Statistics (UBOS) 2016 report, Uganda has a population of 14.3 million cattle.
It is estimated that over 350,000 cows have died across the country since the disease broke out in October 2017.
Furthermore, inflation by income groups and geographical areas indicates that Kampala high income registered the highest annual inflation of 6.2% for the year ending August 2018 compared to 5.0% recorded for the year ended July 2018.
It is followed by Kampala low income at 4.1% compared to 3.3 % and Kampala middle income at 3.4% compared to 3.2% for the period under review.
Consumer Price Index in Uganda increased to 173.72 index points in August from 172.23 index points in July of 2018.
Source: New Vision