The General Agriculture Workers Union (GAWU) has predicted a sustained rise in food prices in the coming months, despite government policy interventions.
This follows a recent increase in inflation, which rose to 21.5 percent in September 2024 from 20.4 percent in August, according to the Ghana Statistical Service (GSS). The spike has been largely attributed to a rise in food inflation.
Reacting to the development, Edward Kareweh, a former General Secretary and a member of GAWU, cautioned that consumers should brace for further price hikes in foodstuffs. He pointed to several factors, including the ongoing illegal mining (galamsey) and recent dry spells, as key challenges facing farmers.
“This year, 2024, we are not going to have any significant increase in food production in the country. If total output is going to fall, it will push food inflation up. From now till December and in the early part of 2025, we should expect food inflation to push the national inflation up,” he warned.
Although the government has introduced measures to mitigate the impact, Kareweh emphasized that these interventions will have limited success if galamsey is allowed to continue. He expressed concern over the destruction of water bodies and farmlands, which poses a serious threat to the country’s food security.
He further cautioned that if illegal mining is not addressed, the prices of basic foodstuffs will continue to surge.
Year-on-year inflation for September 2024 has increased to 21.5 percent, up from 20.4 percent in August. The GSS identified food inflation as the driving force behind this increase. Food inflation surged to 22.1 percent, compared to 19.1 percent in August 2024.
In contrast, non-food inflation declined slightly to 20.9 percent from 21.5 percent in the previous month. Prior to this rise, inflation had been on a downward trend for five consecutive months.
The report also revealed that inflation for both locally produced and imported items increased during this period.