The Eastern region experienced a severe drought in August. About 24,000 affected households have been identified in the departments of La Unión and San Miguel, according to the Ministry of Agriculture. Losses are estimated at 10 to 16% of the country's total grain production. In 2011-2012, heavy rains from tropical storm 12-E had already affected national maize production. Farmers in the east are therefore facing a second consecutive year of low production and are starting this year with limited food reserves. The government is seeking to limit price speculation and impacts on food reserves in the affected areas. A recovery plan has been launched to provide maize and bean seeds to some 21,000 farmers.
Production losses in neighboring Central American countries could compound domestic price increases in upcoming months. According to the Ministry of Environment and Natural Resources, low rainfall levels are forecasted in the next three months due to the El Niño event, which could continue to disrupt grain production.
October 2012