Mauritania Launches Special Program to Cut Down Prices

The Mauritanian government has launched a Special Intervention Programme (SIP) spread over six months to alleviate the effects of the ongoing inflation on consumers at least until the next harvest.

Like many developing countries, Mauritania is bearing the brunt of soaring basic foodstuff prices.

As the country imports most of its consumer needs, the skyrocketing prices affecting transport costs have compounded the inflationary trend, thereby raising the prices of the country’s two leading staples - wheat and rice.

The price of a tonne of wheat delivered to the port of Nouakchott rose 92 percent from 270 dollars in March 2007 to 520 dollars in March 2008, while a tonne of rice now sells at 750 dollars, up from 420 dollars, worth a 78 percent hike in the review period.

The country’s rice and wheat output below the needs (25 percent of the total) and in low quality have further exacerbated the situation.

The 28 billion-ouguiya intervention plan (69.5 million dollars) has scrapped customs duties on rice imports and cut down the prices of rice, wheat and livestock food in subsidized outlets.

For the poor, a bag of rice costs up to 5,000 ouguiya (10,000 CFA francs) instead of 7,500, while that of wheat sells for 4,000 ouguiya (8,000 CFA), against 5,500 CFA francs previously.

In the same vein, the prices of water, electricity and gas are subsidized to remain unchanged despite external fluctuations.

The program also includes distributing free food to the most disadvantaged, funding income-generating activities, as well as training and placing 4,000 unemployed youths.

State workers were granted a 10-percent salary increment to raise their purchasing power.

Source African Press Agency

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