Attachments
Summary of Key Findings
In June 2023, the cost of a basic food basket (BFB) rose by 0.7% month-on-month (MoM), driven mainly by price hikes in rural markets. The cost of the BFB exceeded last year's levels by 3.2% (YoY), which is significant as it was during the global food and fuel price crisis. In that, urban areas had higher BFB costs at USD 27.2 (+4% YoY) compared to rural areas at USD 25.9 (+1.5% YoY).
Price drops for morning glory (-11.7% MoM) and sweet potatoes (-20.6 MoM) almost equalized price hikes for snakehead fish (+9.6 MoM) and duck eggs (+15.7% MoM), with prices of other food commodities in the basket remaining stable. Snakehead fish (+25.3% YoY) and duck eggs (+8.7% YoY) remained significantly more expensive than last year, while vegetable oil (-22.3% YoY) and pork prices (-18.1% YoY) have eased off after a mid-last year spike.
Purchasing power of vulnerable groups improved in June (+4.6 MoM, +9.5% YoY) driven by gains in unskilled labour wages. These improvements are likely linked to the gradual recovery from the global food and fuel price crisis, as well as a resumption of agricultural and construction activities. The number of customers visiting markets declined throughout June, influenced by the growing popularity of online shopping, persistent concerns related to the pandemic, economic constraints, and the expansion of supermarkets.
Despite cumulative rainfall being moderately lower than the long-term average, wet-season paddy cultivation as of June 2023 exceeded the national plan. However, chances remain high for the El Niño phenomenon to occur in Cambodia in 2023, potentially causing higher temperatures and erratic rainfall – with adverse effects on agricultural production.