In the last quarter of 2013, severe rainfall deficits have hit parts of Tanzania, which was also affected by a delayed start of the Vuli rains in the central areas; in the eastern half of the country pronounced rainfall deficits during December 2013 were noticeable.
Prices of petrol, diesel and kerosene rose along with higher international oil prices. The retail price of petrol rose by 5.6% from November to December 2013, while diesel price increased by 1.7% during the same period. Y/y inflation went down from 6.2% to 5.6% from November to December 2013. According to the National Statistics Bureau, the increase in production of cereals, particularly rice, helped stabilize prices.
The impact of staple food price changes on the cost of the basic food basket from October to December 2013 was low.