Botswana vulnerable as food prices soar in SA

Thursday, January 28, 2016

Botswana is set to feel the pinch of higher food inflation as the price of some fresh produce in South Africa has doubled in the past few months, with other items soon to follow suit as the drought effects widen.

The country, which imports over 70 percent of its food requirements from its neighbour, is likely to record similar price increases, although the depreciating Rand might temper the rate of increase for Botswana imports.

Local inflation rose from 2.9 percent to 3.1 percent in December while the one for South Africa rose to a one-year high of 5.2 percent from 4.8 percent in November on the back of a weaker Rand and food price pressures.

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