However, food inflation declined to 9.6 percent in September from 11.7 percent in August, driven by decline in prices of fruits. Nsubuga says despite the decline in food inflation, food prices generally continue to remain high.
During the year, costs of beverages, tobacco, rent, fuel, electricity, transport, communication, education, health and entertainment all dropped. On the processed food front, Sugar prices were depressed for most of the year as the factories were producing over and above their targets.
Currently, food crop prices are still falling as supplies continue to meet the demand in the markets. However, as has been the trend since 2012, July, August and September food crop prices sometimes increase.
Statistics released at the month end indicates that prices of food crops like Matooke, sweet potatoes, pineapples, tomatoes, cabbages, Irish potatoes and green paper, among others increased significantly for the fourth consecutive month.
UBOS officials however revealed that during the Christmas period—from 20th to 24th December—prices on average rose by 3.3percent in Kampala. Almost all consumer goods during the period rose by significant portions, with Matooke increasing by 20.7%, Sweet potatoes by 11.7percent, meat by 8.5percent, goat meat 11.77percent, Avocado by 35.6percent, and transport fares by 16.31percent.
The figures released by Ubos indicate that prices of Matooke, Irish Potatoes, Cassava, sweet bananas, Oranges, Tangerines, Cabbage, Tomatoes, Fish, Milk and Sugar had all declined in November 2013, maintaining a trend that started in October 2013.
The increase in the prices of goods and services on an annual basis rose by 8.1percent in the year ending October 2013, according to the Uganda Bureau of Statistics (UBOS).
The irony is that when inflation was increasing, prices of goods and services skyrocketed with traders and service providers claiming they needed to match prices with rising inflation. But now when inflation has reduced drastically, they have refused to reduce prices, leading to suggestions of greed and lack of government control.
The biggest bunch of banana which was previously going for 22000shillings is now sold at 15000 in the same markets while medium sized matookes are now sold 6000 to 10000shilings with the smallest selling at 3000shillings.
