Price hike of food basket takes its toll on common Panamanians
Sep 25th, 2008 by admin
The “silent Tsunami” as the U.N. denoted the soaring food price all around the world has now hit Panama. While it doesn’t affect the increasing number of foreigners much, significant increase of staple food like rice and beans and other related commodities that make up the basic food basket are causing woes for the ordinary Panamanians.
Despite recession in other neighboring countries including the U.S, Panama is the only state in its region that saw an economic boom in recent times. The “Gateway to the Americas” became a haven for tourists and foreign retirees alike. The scenic beauty, cosmopolitan infrastructures, luring attractions and incentives, cheaper living cost and a number of other preferential factors have made Panama a destination for tourists and a permanent stoppage for the foreign retirees. But for common or indigenous population of Panama the same is causing a repelling effect as they are losing easy access to the basic food basket or “canasta basica” as compared to the foreigners due to the awkward jump in its price.
According to the Institute of Agricultural Marketing of Panama, there are significant price-drops for most of the agricultural products. Reality on the ground though seems different. Although there seem to be abundance of cultivable lands and out in the villages and farmers are more and more focusing on their products, price of rice, wheat, corn and beans do not seem to support the government’s claim. Panamanians living at or below the poverty level are struggling to just survive, eyewitnesses say. While the minimum wage of the people of Panama stands at $300, the price of the “canasta basica” is only $51 to 57 below i.e. ranging from $247 to 243. Government of Panama keeps a close eye on the “canasta basica” this home made index and the index says it all. In general, over last one year food price jumped almost 15% in Panama, an ominous sign for humble citizens of the country.
The effect of this soaring price seems to threaten nutritional security of the already increasing poor people of Panama. But it especially hurts the children, pregnant women and nursing mothers. Women and children this days are found to queue up in NGOs and schools where food comes as more of a donation. In recent days, a decline is also observed in providing food items at these donor institutions. In the opinions of the victims of price hike, the food crisis is a matter of willingness to share by those who have it easily with those who don’t.
Amidst the woes resulting from these appalling realities, there are renewed opportunities for Panama to capitalize in its bio-fuel production but this has to be weighed against the national food and nutritional security.
Government of Panama is keen to tackle the situation, more for preventing protests that it has seen in neighboring Nicaragua. It is also important for politicians in securing their success in May 2008 elections. Much remains to be seen in Panama to rid true Panamanians of this ‘international’ malaise that is causing sufferings to millions of people across the globe.
