June 2011 Basic Needs and Nutrition Basket: Beyond the AGOA Forum, Will the Poor now Benefit?
Abstract
The JCTR Lusaka Basic Needs Basket (BNB) for an average family of six in May was at K2,917,350
from an average of K3,003,550 in April 2011. The BNB is a tool that measures the average cost of
basic food and essential non-food items in Lusaka and eleven other towns across the country. The
reduction in the May BNB was mainly influenced by a drop in prices of commodities such as Mealie
Meal, Kapenta, Dry Fish, Meat and Vegetables. A 25Kg bag of breakfast Mealie Meal reduced by an
average of K3,400 from K49,600 in April to K46,200 in May. While commodities such as sugar, milk
and onion recorded an upward adjustment, the average cost of basic food alone reduced from
K957,550 to K804,350. Unlike the basic food commodities, essential non-food commodities showed
an upward trend from K2,046,000 to K2,113,000 during the same period.
Description
The JCTR reiterates its’ call for stronger linkages between the small and large producers to maximise
on economies of scale and facilitate entry into the US market. Undoubtedly, there is need to revisit
Zambia’s AGOA strategy if what was promised by the Minister of Commerce Trade and Industry, Mr.
Mutati, “that the AGOA benefits are in fact beyond the forum as there will be stronger partnerships
between Zambia and other countries”, is to come to pass. Beyond partnerships with other countries, it
is critical to strengthen partnerships within the country and ensure small producers’ contribution to the
exports is more significant. Essentially, the success of AGOA for Zambia should not only be measured by the increase in the export volumes but also, the contribution of the small and medium
scale producers to the export.