Rice price drops 25pc due to good harvest

DAR ES SALAAM: THE price of rice has dropped by almost 25 per cent at wholesale markets after the supply increase, thanks to bumper harvests.

The recent ‘Daily News’ spot survey showed that the wholesale price of rice grade one dropped to 260,000/- yesterday from 350,000/- per 100 kilogramme sack two months ago.

The price of middle grade decreased to 220,000/-from 280,000/- and low grade decreased to 210,000/-from 240,000/-.

The price currently ranges between 2,100/- and 2,600/- per kilo compared to the ranges of 2,500/-and 3,500/- per kilo in February.

Tandale’s market trader Edward Ngonyani said the business is flourishing as buyers have increased due to low prices.

“The business is good because there are many consumers attracted by the price. The price is customer-friendly compared to the period when the supply is low,” Mr Ngonyani told ‘Daily News’.

Tandale is the largest cereal market in Dar es Salaam and receives supply—especially rice from Kilombero, Ifakara, Dakawa and Malolo in Morogoro; Kyela and Mbarali in Mbeya, Shinyanga and Kahama; Mwanza and Ruvu in Coast.

The rice season is between July and September.

Mr Ngonyani said due to favourable prices they are now selling around 20 sacks a day compared to 12 sacks during a low season almost two months ago.

Additionally, the market currently receives between 15 and 20 trucks a day compared to eight a day two months ago, with the capacity of carrying between 20 and 25 tonnes each.

“Coming next month, October to next June, the business will be tough due to the high demand of rice that will push up prices,” Mr Ngonyani said.