Journal of Food Security. 2015, 3(1), 25-28
DOI: 10.12691/JFS-3-1-4
Review Article

Does Consumer Price Index Affect Food Security in Sub-Saharan Africa?

Coulibaly Abdoulaye1, , Wang LanHui1 and Mukete Beckline2

1School of Economics and Management, Beijing Forestry University 35 Qinghua East Road Beijing, 100083 China

2School of Forestry, Beijing Forestry University 35 Qinghua East Road Beijing 100083 China

Pub. Date: April 02, 2015

Cite this paper

Coulibaly Abdoulaye, Wang LanHui and Mukete Beckline. Does Consumer Price Index Affect Food Security in Sub-Saharan Africa?. Journal of Food Security. 2015; 3(1):25-28. doi: 10.12691/JFS-3-1-4

Abstract

Food security is a major global issue with over a billion people believed to lack sufficient dietary access while others suffer from micronutrient deficiencies. In Sub-Saharan Africa, food insecurity is further exacerbated by climate change scenarios, absence of appropriate storage facilities and increase in transportation costs. These deeply impact traditional farming methods and livelihoods there by restricting access to sufficient food hence leaving people in constant food crisis. This paper assesses the influence of consumer price index (CPI) on food security in Sub-Saharan Africa. It is based on the premise that, consumer spending of households is often influenced by price elasticity (changes in food prices) with a consequence on household incomes. The study found out that, food price inflation has increased in many Sub-Saharan African countries; pushing up CPIs with ripple effects on households and on the macro economy. This has a direct consequence on the already weakened household purchasing power thus exposing these households to food insecurity. Therefore, the potential impacts of price elasticity in relation to CPI is a fundamental food security issue.

Keywords

food security, CPI, cereal products, Sub-Saharan Africa, households and prices

Copyright

Creative CommonsThis work is licensed under a Creative Commons Attribution 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by/4.0/

References

[1]  Apergis, N and Rezitis, A (2011). Food Price Volatility and Macroeconomic Factors: Evidence from GARCH and GARCH-X Estimates. Journal of Agricultural and Applied Economics, 43 (1) 95-110.
 
[2]  Barrett, C (2008). Food policy, smallholder market participation: Concepts and evidence from eastern and southern Africa. Department of Applied Economics and Management, 315 Warren Hall, Cornell University, Ithaca, NY 14853-780, USA
 
[3]  Barrett et al., (2010).Measuring Food Insecurity. Science 327, 825 (2010).
 
[4]  Camara, O (2011). HLPE Second Consultation on Price Volatility. Collection of contributions received. Global Forum on Food Security and Nutrition. http://km.fao.org/fsn
 
[5]  Dambisa, M (2010). Dead Aid: Why Aid Is Not Working and How There Is a Better Way for Africa. Farrar, Straus and Giroux Publications, March 2010. 208 pp
 
[6]  Dewbre, J., Giner, C., Thompson, W and Von Lampe, M (2008). High food commodity prices: will they stay? Who will pay? Agricultural Economics (39) supplement, 393-403.
 
[7]  Fafchamps, M (2010). Vulnerability, risk management and agricultural development. African Journal of Agricultural Economics 5 (1), September 2010.
 
[8]  FAO, (2006).The State of Food and Agriculture 2006: Food Aid for Food Security? Rome, Italy.
 
[9]  FAO (2008). La Flambée des prix des denrées alimentaires: faits, perspectives, effets et actions requises. Rome, Italie Pp 4-10
 
[10]  FAO, (2012). Potential Impacts of Climate Change on Food Security in Mali. Food and Agriculture Organization of the United Nations (FAO), Rome Italy. http://www.fao.org/docrep/016/i2856e/i2856e.pdf.
 
[11]  FAO, (2014). FAO Food Price Index, World Food Situation. www.fao.org/worldfoodsituation/foodpricesindex/en/Retrieved 3rd October, 2014.
 
[12]  Ferrucci, G., Jimenez, R and Onorante, L (2010). Food price pass-through in the Euro Area. The role of Asymmetries and non-linearities. European Central Bank Working Paper Series, No 1168.
 
[13]  Feng. Y and Dong-sheng, L (2014). The Empirical Study on the Relationship between Agricultural Prices and CPI. Journal 1994-2014. China Academic Journal Electronic Publishing House.
 
[14]  Feng, L and Peng, K (2002). The relationship between Grain Prices and inflation in China (1987-1999). Journal 1 (4).
 
[15]  García, S et al., (2013). Literature review of impacts of food price volatility on consumers in developed and developing countries. Working Paper 2, ULYSSES project, EU 7th Framework Programme, Project 312182 KBBE. 2012. 1. 4-05, http://www.fp7-ulysses.eu/, 52 pp.
 
[16]  Gilbert, C and Morgan, W (2010). Food price volatility. Philosophical Transactions of the Royal Society B,365: 3023-3034.
 
[17]  Hobijn, B and Lagakos, D (2003). Social Security and the Consumer Price Index for the Elderly. Current Issues in Economics and Finance (Federal Reserve Bank of New York) 9 (5): 1-6. Retrieved 10th December, 2014.
 
[18]  Kelly, V., Dembele, N and Staatz, J (2008). Potential food security impacts of rising commodity prices in the Sahel: 2008-2009. Famine Early Warning Systems Network (FEWS NET), USAID and Michigan State University.
 
[19]  Li, X (2012). Research on the relationship between grain Prices and CPI in china. Strategic Management Department, Agricultural Bank of China, Beijing 100005, China. China Academic Journal Electronic Publishing Housing.
 
[20]  Lloyd, T., Mc Corriston, S., Morgan, W and Zgovu, E (2012). The experience of food price inflation across the EU in TRANSFOP, Working Paper No. 5, TRANSFOP project, EU 7th Framework Programme, Grant Agreement No. KBBE-265601-4-TRANSFOP, http://www.transfop.eu/
 
[21]  Lutz, C., Van Tilburg, A and van der Kamp, B (1995). The process of short-and long term price integration in the Benin maize markets. European Review of Agricultural Economics, 22, 191-212.
 
[22]  Mame, D (2007). Modeling Inflation for Mali. International Monetary Fund Working Paper. Journal WP/07/295
 
[23]  Mukete, B (2014). Why is food so scarce? An analysis of the Ndian food security crisis. http://farmlandgrab.org/23013. Retrieved, 11th October, 2014.
 
[24]  Mukete, B and Monono, S (2014). Assessing the Impact of Consumer Behaviour on Food Security in South West Cameroon. Journal of Food Security 2 (3) 87-91.
 
[25]  OECD, (2008). Rising Food Prices: Causes and Consequences. Organisation for Economic Co-operation and Development (OECD). http://www.oecd.org/trade/agricultural-trade/40847088.pdf Retrieved 11th October, 2014
 
[26]  Pinstrup-Andersen, P (2009). Agricultural research and policy to achieve nutrition goals. Poverty, Insecurity and Development 1: 353-370.
 
[27]  Sunderland et al., (2011). Forests, biodiversity and food security. International Forestry Review 3 (3).
 
[28]  US Bureau of Labor Statistics (2013). Consumer Expenditure Surveys 1913-2013. Retrieved 17th January, 2015
 
[29]  Von Braun, J and Tadesse, G (2012). Food Security, Commodity Price Volatility and the Poor. In Mekbib G. Haile and Matthias Kalkhul (2013) eds. Volatility in the international food markets: implications for global agricultural supply and for market and price policy.
 
[30]  World Bank, (2011). Food price hike drives 44 million people into poverty. Press Research No: 2011/333/PREM.Http://web.worldbank.org/wbsite/external/news/0,contentMDK:22833439~ page PK:64257043~piPK:437376~the
 
[31]  Yi, X (2013). 粮食价格波动对CPI 的影响研究. Journal 1994-2014. China Academic Journal Electronic Publishing House.
 
[32]  Zhu, X and Lu, J (2011). Relationship between grain prices and inflation in China (1996-2008). Nonlinear Causality Testing Method Based on Correlation Integral. Journal 1994-2013 China Academic Journal Electronic Publishing House.