Addis Ababa — A UN report says that contrary to popular perceptions inside Ethiopia, greedy traders and speculators are not to blame for recent price rises.
The food assessment report comes just a few days after a special parliamentary session devoted to the economy, and in particular to rocketing food prices.
Prime Minister dictator Meles Zenawi announced the creation of a special task force to monitor and prosecute “greedy” traders.
Traders were now complaining about the farmers’ market power, the report said.
Mr Meles had accused businessmen of profiteering and exploiting the situation.
But the new report by the United Nations agencies concerned with food and agriculture, the Food and Agriculture Organization and the World Food Programme, says the traders are not to blame for the high prices.
Dilemma
As markets get less centralised, and farmers become more sophisticated and better informed, it says the traders are starting to complain about the market power of the farmers.
The one popular perception the report does support is that farmers are now better off, and able to wait and spread their grain sales through the year, rather than having to rush everything to market immediately after harvest when prices are at their lowest.
But the main message of the report is that grain prices in Ethiopia, however much they may have risen, however unaffordable they may be to the urban poor, are still below world prices and below prices in most neighbouring countries.
This, the report says, poses a dilemma in terms of government policy.
Buying grain locally to give to those needing emergency aid might push up domestic prices.
But while importing food from outside and giving it away or selling it cheaply could stop the price from rising, that would then encourage more and more grain to flow out across the borders to other places in the region where the price is higher.
Subsidised wheat targeted at the poorest Ethiopians costs 90 birr ($9.5) for a 50kg bag – less than half the shop price of 4 birr/kg.
(Reuters) – Ethiopia’s federal court denied bail on Friday for 27 suspects in a $17 million fake gold scandal at the country’s central bank.
The National Bank of Ethiopia was ordered to check all its gold deposits last week after a consignment of bars shipped to South Africa was found to include gold-plated steel.
“The charge is too complex and involves a number of people in a criminal case that requires more time to investigate,” the court in Addis Ababa said in its ruling.
“We have decided the suspects should remain in custody for a further 15 days. The case is adjourned until April 7.”
The accused, who include 11 bank employees, were brought to the courtroom by armed police.
The other suspects are workers from the Geological Survey of Ethiopia, which was meant to test and certify the gold deposits, and businessmen thought to have profited from the scam. They are all charged with causing a $17 million loss to the bank.
Thousands of artisanal miners in south and southeast Ethiopia extract alluvial gold, which is supposed to be checked by the Geological Survey before it is sold to the National Bank. (Writing by Daniel Wallis)
(API) Addis Ababa — Ethiopian Muslims, who constitute around 40 % of the estimated 80 million population, are celebrating their Maulid with various activities, as part of Ethiopia’s Millennium celebrations held last September.
Some Muslims told APA that this year’s Maulid is being celebrated in a colourful mood, which is being observed as part of the Ethiopian Millennium celebrations.
The Ethiopian Muslim holidays, like the rest of world, are based on the lunar calendar and thus fall at different times each year.
The Ethiopian Muslim community were busy on Wednesday buying different things for the celebration of Maulid, which is regarded as a Holy day.
On the day, after praying and listening to the imam (religious leader) preach, Ethiopian Muslims sacrifice animals and distribute part of the meat to the poor.
The Muslims observe the day with their Christian neighbors. Many Muslims invite their Christian neighbors to their homes where they will have Ethiopian traditional food and drinks together.
The Muslims prepare special food, as well as give meat to their Christian neighbors.
“We are celebrating the day with Christian neighbors as we are doing like other holidays. We are happy to celebrate this year’s Millennium Maulid,” Fetya Hassen, an Ethiopian Muslim, who was celebrating the day with her Christian neighbors told APA.
Gifts are presented on the day where many Muslims buy various gifts both for their Muslim friends and other neighbors. Colorful processions are held during this time of celebrations, with dancing, singing, and feasting also being included in the festivities.
This year, the prices sheep and goats are quite high compared to the previous year. Big goats and sheep cost around $50 and $60 while the small one is around $35 and chicken is around $3 and $4.
Volunteers affiliated with Ethiopians for Obama have amassed a vast database of Ethiopian residents in the great state of Pennsylvania. Ethiopians for Obama will start phone-banking, where volunteers from multiple states will call Ethiopian voters in Pennsylvania to ensure that the Ethiopian community registers to vote in the Democratic Primary before the March 24th deadline.
Voters who register after the 24th of March are not eligible to vote in the Democratic Primary. Moreover, voters who are not registered as Democrats are not eligible to participate in the Democratic Primary, so it is vital the Ethiopian community register as Democrats before March 24th.
The Pennsylvania Primary will be held on April 22nd, there is a large and tight-knit Ethiopian community in Philadelphia and dispersed in other cities in Pennsylvania. With a large turnout, the Ethiopian electorate can have a huge impact on the outcome of the Pennsylvania Primary. Every vote counts, Ethiopians for Obama will make phone calls to the Ethiopian community in Pennsylvania to make sure that we make our votes count.
We at Ethiopians for Obama are always looking for volunteers. If you are interested in volunteering or being more involved in the politics of our nation — being a part of the change we want — please email [email protected]
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Ethiopians in Pennsylvania can register online here: rockthevote.org. The registration deadline is March 24.
(The Daily Monitor) – More than 14 million Ethiopians may be potentially at risk of fluorosis, the Ministry of Water Resources announced at a workshop on Fluorosis Mitigation Learning Exchange held from from 4- 5 March 2008 in Addis Ababa. A recent assessment of Fluoride, Fluorosis and Defluoridation issues reported that, out of those at risk, approximately 85% may have already been exposed to high fluoride contamination. Excessive fluoride is the most serious water sanitation problem, mainly in the Ethiopian Rift Valley system affecting areas in Afar, Oromia, and the Southern Nations, Nationalities and peoples regional states, including some parts of Gambela Regional State. A high level National Fluorosis Mitigation Steering Committee composed of Ministers and Heads of relevant agencies has been re-established to coordinate fluorosis mitigation efforts in Ethiopia.
—————— The problem is that the ministers are all too busy enriching themselves and getting drunk in their spare time. Even if they want to do some thing constructive, they are too ignorant since their only qualification is their loyalty to their puppet-master Meles Zenawi.
Source: United Nations Office for the Coordination of Humanitarian Affairs – Integrated Regional Information Networks
ADDIS ABABA (IRIN) – The Ethiopian government’s decision to remove some taxes on grains is unlikely to have an immediate impact on rising food prices in rural areas, where most of the consumers are actually producers, an economist said.
It may, however, ease the burden on the urban poor in several months’ time, if the government follows through on implementation.
“The fact that 85 percent of Ethiopians are living in rural areas means a reduction of value added tax and turnover tax will not have an impact on their lives,” the Ethiopian economist, who declined to be named, said.
“The reduction will probably help the urban poor; (but) the change will not be that significant,” he told IRIN in the capital, Addis Ababa. “It will take at least six months to see some changes in the grain market – with serious regulation and follow-up. However, the government does not have the capacity to do that.”
Speaking in parliament on 18 March, Prime Minister Meles Zenawi said: “While our current economic development is encouraging, worsening inflation has created a difficult situation for the low-income urban dwellers.”
The government, he added, had devised temporary measures, including provision of direct and indirect subsidies, and had spent 372 million birr (US$38 million) in the past few years to subsidise wheat and 3.52bn birr ($366 million) to subsidise fuel.
“Direct subsidies have included government expenditure to stabilise fuel prices and provide wheat for low-income populations,” Meles said.
A subsidised wheat supply of 25kg every month for low-income urban dwellers was introduced in March 2007. “The current distribution of wheat will be maintained and edible oil will also be offered in a similar manner until the price of goods has been satisfactorily stabilised. We will also attempt to distribute products such as soap if deemed appropriate, depending on the circumstances.”
Apart from rising commodity prices in the international market, a significant increase in money circulation and deficiencies in the marketing system were two domestic reasons that had exacerbated inflation.
In December 2007, the Famine Early Warning Systems (Fews Net) warned that high cereal and commodity prices in Addis Ababa, and several other monitored markets, including Bahir Dar, Mekelle and Dire Dawa, would affect food security for many urban dwellers.
Market-related factors, along with chronic problems and decreased production, were expected to render an estimated eight million Ethiopians food-insecure this year, while 2.4 million acutely food-insecure people would require food and cash assistance.
“Despite some increases in income, high prices are affecting the food security of the rural and urban poor, who rely heavily on the market to purchase food,” the update noted.
Giving the example of white maize, Fews Net said the nominal retail price in Addis Ababa was 36 percent higher in 2007 compared with the 2002-2006 average.
According to the UN, 16 percent of Ethiopia’s more than 70 million people live in urban areas and the rest in rural areas. Eighty-five percent of the population are employed in agriculture.
“Overall, the increase in prices of cereals is expected to have a serious negative impact on the food security of the poor, both in urban and rural areas, who depend on the market to purchase food, though increases in wage labour are expected to enable them to cope, to some extent, with increasing prices.”
