Over the past few months, the purchasing power of Zimbabwean households has been weakening. Dry weather conditions earlier this year have led to a limited maize production and food stocks are depleting sooner than usual, resulting in a loss of income for crop producers. At the same time, food prices are high, and recent strengthening of Zambian export regulations and rising fuel prices (10% for diesel between July and August) do not bring the prospect of favourable price changes. The upcoming lean season is likely to push maize prices further up. Similarly, livestock conditions in the southern and western provinces are still deteriorating due to poor pasture and water availability. Distress sales are being observed – cattle selling for as low as USD 150 from the normal (between 400 and 500 USD).
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