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Market Watch 18

During the past 12 month period, the price of key commodities has continued to increase: blackgram by 21 percent,musuro (broken lentil) by 30 percent, potato by 50 percent, rice by three percent and wheat flour by six percent.

The price of food during this year’s Dasain holiday was much higher compared to previous years. The price of chicken is on average 40 percent higher than last year, the price of key vegetables are up by more than 50 percent and sugar is up by over 45 percent.

Natural disasters have caused substantial regional crop losses in India, Vietnam, Indonesia and the Philippines. The consequence of such losses means that the price of imported grains, especially rice, is likely to increase significantly in late 2009 and early 2010 compared to prior year prices.

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