One of the things that puzzles me is the way prices shoot up so high at a fast rate in Uganda.
About ten years back a Kilogram of Sugar which we don't even import, cost 900 UG Shillings; Today it's 3000 UG Shillings. The Mathematicians can calculate the rate of price increment.
Sugar which we manufacture!!!! The sugar canes are planted in Uganda.
A half Kilogram of Salt used to be 200 Uganda Shillings; It's now 1000 Ugandan Shillings. Books, Aqua (I write this in Latin for my own personal reasons!!).
Many Items have had their prices hiked, i don't want to talk about item by item. Last financial year in the budget some items whose prices were cut so admirably included beer. Can you imagine? So Uganda that year emerged the Number Alcohol consumer in the whole world sometime early 2010. Of all things, the price for beer is lowered!!!!
And surprisingly the poor people shall now consume alcohol and can't afford items like sugar, salt!!! In this year's budget i just gave up on analyzing it but it looked like all prices are high up again!!
Eventually in my mind i have never understood why prices have to be raised (I don't think they just rise! they are raised). And if this must continue where shall we get money to survive in this harsh environment??
I am not writing a political article but my brothers and sisters i wonder whether this is because our currency may be weak! Or when we develop prices for commodities also grow bigger?
Remember i am just analyzing. Good Luck fellow Ugandans. Guys out there, Is it the same case like here in Uganda?
About ten years back a Kilogram of Sugar which we don't even import, cost 900 UG Shillings; Today it's 3000 UG Shillings. The Mathematicians can calculate the rate of price increment.
Sugar which we manufacture!!!! The sugar canes are planted in Uganda.
A half Kilogram of Salt used to be 200 Uganda Shillings; It's now 1000 Ugandan Shillings. Books, Aqua (I write this in Latin for my own personal reasons!!).
Many Items have had their prices hiked, i don't want to talk about item by item. Last financial year in the budget some items whose prices were cut so admirably included beer. Can you imagine? So Uganda that year emerged the Number Alcohol consumer in the whole world sometime early 2010. Of all things, the price for beer is lowered!!!!
And surprisingly the poor people shall now consume alcohol and can't afford items like sugar, salt!!! In this year's budget i just gave up on analyzing it but it looked like all prices are high up again!!
Eventually in my mind i have never understood why prices have to be raised (I don't think they just rise! they are raised). And if this must continue where shall we get money to survive in this harsh environment??
I am not writing a political article but my brothers and sisters i wonder whether this is because our currency may be weak! Or when we develop prices for commodities also grow bigger?
Remember i am just analyzing. Good Luck fellow Ugandans. Guys out there, Is it the same case like here in Uganda?
Man, the prices are determined by the forces of demand and supply. The less the supply, the more the demand and hence the higher the price. The more the supply, the less the demand and hence the lower the prices. Though we manufacture sugar (and other things like Tea, Coffee, Tobacco) we actually export most of them. So the demand is high while the suplly is low (since we cannot supply to all countries that want sugar and have enough for our own country)which makes the prices go high. I know your thinking, why dont we stop supplying other countries and just supply our country alone and lower the prices. Truth is that we need foreign currency to servive - we need to buy other stuff like computers, pay for internet e.t.c. We need foreign currency. Actaully, personally the rate of the US dollar affects me. When it falls, I lose, I like it when its up!! You will sometime know why.
ReplyDeleteInnocent that's basic economics i guess for Uganda's case it's not this law of Demand. Otherwise people in the US would never be buying anything. The economy of Uganda is getting devastated just!
ReplyDeleteInnocent i think you now agree with me!! The walk to work
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