Angola Food Security Update June 2004 USAID Funded Activity Prices of staple foods in Huambo remain stable due to improved trade flow from Kuanza Sul, Huila and Bie provinces In April 2004, FEWS NET conducted a short survey in the informal markets of Huambo, Huila and Luanda. Regional Trade Flows In May and June 2004, following requests from a few Increased trade flow since the main crop harvest NGOs, FEWS NET conducted a similar survey to in May/June 2004 monitor trade flows and market prices, now including Benguela and Uige provinces. This food security The demand for maize and beans in urban and update discusses the findings of this work. rural areas of Huambo and Bengula continues to attract supplies from Huila and Kuanza Sul Trade Flow and Maize Prices provinces. During the last two months, the supply of maize, sorghum and beans from Huila to Maize prices remain stable and further decline is Benguela increased substantially. Sorghum, expected which was almost not traded in April 2004, is now Prices of staple foods in local markets have an impact reaching the urban markets in Benguela. This on food security, as many vulnerable families rely on reflects good sorghum harvest in Huila, which is markets to supplement their food needs. Trade flows estimated to have increased by six percent – from and price analysis during May and June revealed two 33,000 MT in the 2002-03 season to 35,000 MT in major factors positively influencing food availability. the 2003-04 season. Farmers in Kaluqumbe, Firstly, continued trade activity between Huambo and Matala, Kipungo and Quilengues supply the bulk the neighbouring provinces is helping to stabilise food of the produces to Buenguela. prices in the main urban and rural markets; and secondly, there has been a notable increase in intra- Fig 1. Yellow maize prices provincial trade flow, particularly in Bie and 0.40 Buenguela, reflecting improvements in local food 0.35 production. 0.30 As shown in Figure 1, maize prices remain stable in 0.25 Huambo and Benguela and show a declining trend 0.20 in Huila and Bie. The combined positive impact of USD/Kg improved production and trade is most likely to 0.15 keep prices from rising in the month of July and 0.10 probably August. 0.05 0.00 There is no reliable information at the moment to project trade flows and prices beyond August. Huambo Huila Benguela Bie However, maize millers in Huambo and Bie believe April May June that maize grain imports will be needed as of October 2004 to keep the milling business profitable. The flow of maize and beans from Kuanza Sul to More than 30 percent of the interviewed market Huambo is estimated to have increased since April vendors in Bie foresee problems in local supply in 2004. In addition to maize and beans, Irish September 2004, whereas those in the main urban potatoes from Kuanza Sul have reached markets markets in Huambo are very optimistic that supplies in Huambo – a direction of flow which cannot be from Huila and Kuanza Sul will continue beyond clearly explained because the production of Irish August. These issues will be further investigated in potatoes in Huambo is estimated to be three times the coming months. higher than in Kuanza Sul. In addition, market Kuanza Sul pay. monitoring activities failed to find indications of high Traders from Bie would be better off supplying demand for Kuanza Sul potatoes in Huambo markets. the current surplus production to regional markets Therefore, this trade is unlikely to continue in the in Huambo and Benguela. A 15-tone truck from coming months. Good maize and beans harvest in Bie, particularly in Chitembo and Chinguar municipalities have also resulted in increased supply to Huambo - See Table 1. On the other hand, similarly to the situation in April 2004, no commodities have been found leaving Huambo through the southern and eastern routes, which UIGEUIGE is a clear reflection of low availability as a result SanzaSanza PomboPombo BungoBungo UígeUíge of a poor harvest and subsequent lack of surplus PuriPuri production. QuitexeQuitexe KangolaKangola BENBEN GO GO DembosDembos Increased intra-provincial trade QuibaxeQuibaxe LUANDALUANDA KUANZAKUANZA NORTENORTE MALANJEMALANJE Intra-provincial trade has increased in Bie, CateteCatete Benguela and Huambo to some extent as a result of the main harvest. In Huambo, this increase indicates clearly that some farmers were able to LiboloLibolo recover part of the maize and beans crop. In KUANZAKUANZA SULSUL May 2004, maize and beans from Londuimbali, QuibalaQuibala EboEbo CondaConda Mungo, and Bongei were sold in the main CondaConda Wak u- u- AnduloAndulo KungoKungo market in Caala. SelesSeles CassongueCassongue BIBIE E CatabolaCatabola Interviews conducted in Kuito market (Bie HUAMBOHUAMBO CatabolaCatabola BENGUELABENGUELA CamacupaCamacupa o o o province) indicate a significant increase in trade o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b BenguelaBenguela b m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m m Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar a a a a Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar a a a a a a a a a a a a a a a a Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar Chinguar a a a a a a a a a a a a a a a a a a a a a a a a a a a a within the province since May 2004, with traders a u u u u u u u u u CubalCubal u u u u u u u u u u u u u u u u u u u CubalCubal u u u u u u u u u u u u u u u u CubalCubal u u u u u H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H H reporting good availability of maize and beans CaálaCaála GandaGanda CCC in areas around Andulo, Chitembo, Catabola, aaa ChitemboChitembo cc ccc e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e oo e e e e ooo b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b b nnn b b nnn ddd m m m m m m m m m ddd m m m m m m m m m m m m m m m m m m m m m ddd m m m m m m m m m m m m m m m m m m and Camacupa. m aa e e e e e e e e e aaa e e e e e e e e e e e e e e e e e e e e e aaa e e e e e e e e e e e e e e e aaa e e e e u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u u q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q q QuilenguesQuilengues q u u u u u u u u QuilenguesQuilengues u u u u u u u u u u u u u u u u u u u u u QuilenguesQuilengues u u u u u u u u u u u u u u u u u u u u l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l l a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a HUILAHUILA C C C C C C C C C C C C C C C C C C C C C HUILAHUILA C C C C C C C C C C C C C C C C C C C C C HUILAHUILA C C C C C C In Benguela, main urban markets reported an C ggoo JambaJamba nngg increase supply of maize and charcoal from aann uubb Matala LLuu areas around Catengue and Chongoroi.