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Food prices rise in Horn of Africa

ROME, ITALY: Food prices rose last month in parts of the drought-hit Horn of Africa region but were down in Somalia although still very high and far above last year's levels, the UN food agency said on Wednesday, 10 August 2011.

The Food and Agriculture Organisation (FAO) said prices of the main staple maize rose sharply in July in both Ethiopia and Kenya. In Ethiopia milk prices also surged "due to the deteriorating conditions of the livestock," it said.

"Prices of cereals have reached record levels in several countries and are in general well above their levels a year earlier, substantially reducing access to food by large numbers of population," FAO said in its food price report.

The Rome-based agency said high prices were the results of "drought-reduced secondary season harvests earlier in the year, sharply increased fuel and transport costs, high international prices of imported wheat, insecurity".

In Somalia, the price of domestically produced staples, maize and sorghum, showed some signs of decline in July after a steady increase since November 2010 but they were still up to 150% and 200% higher than in July 2010.

"In the most affected southeastern Somali region, milk prices in June were twice their levels of a year earlier," the report said.

"Prices of imported rice further strengthened during July in most markets and were six to 39% up on the June 2010 levels" in Somalia, it added.

Source: AFP

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