Moroccan Consumers Face Rising Food Costs Ahead of Ramadan

There are several reasons behind this phenomenon, explains H24Info: the increase in the prices of raw materials internationally, and that of the cost of oil. On site, Bouazza Kherrati, the president of the Moroccan Federation of Consumer Rights (FMDC) indicates that "the price of straw ropes has gone from 350 DH to 700 DH, an increase of 100%, consequently, the price of meat production is affected".

We must not forget "the increase in customs duty tax which has increased from 24% to 40%" raised by a media interlocutor, as well as the rise in fuel and lubricant prices which contributes nearly +0.8 point to the overall price increase, compared to -0.7 point the same period in 2020, given an expected Brent price of $70/barrel, instead of $31.47/barrel a year earlier.

So many considerations that have repercussions on the Moroccan national market, not to mention the intermediaries and speculators who are counting on the very high demand at this time to make extraordinary profits on particularly sought-after products such as vegetables, red and white meats, table oils, as well as eggs and certain cereals.

"The consumer must not participate in this price increase by rushing to buy products," warns Kherrati, urging "the population to limit household spending, whether in terms of electricity for example or from a food point of view." "When we buy two breads for example, and we throw one in the trash, the bread we will eat will cost twice as much. The citizen must be aware and not participate in food waste," he sensitizes.

However, inflationary risks "would remain limited in the short term", mitigated in particular by the appreciation of the dirham against the dollar (-6.3% in January 2021, instead of -1.3% in 2020). In the second quarter of 2021, the inflation rate should be around 1.2%, instead of 0.1% in the first quarter, reassures the HCP in its note.