Explosive food inflation

Food inflation that was already high before the 2022 monsoon floods in Pakistan further accelerated after the floods, particularly in rural areas. In rural areas food inflation rate crossed 30 per cent in August amidst super floods and remained above that level for the next four months, peaking at 37.9pc in December 2022. In urban areas, people witnessed food inflation rising past 30pc in September, then touching an all-time high of 34.7pc in October before slipping to 29.7pc in November. But in December, urban food inflation again rose to 32.7pc. Such persistently high rates were primarily the outcome of domestic food shortage that aggravated after the floods, higher food prices in the international market in most of 2022, rupee depreciation, disruptions in domestic supplies and delays in imports due to import restrictions, and the failure of authorities in enforcing administered prices.