Africa-Press – Cape verde. In recent months the prices of essential consumer goods have undergone constant changes, most of them in an upward direction. In September, according to ADECO’s calculations, a healthy adult in São Vicente needed 20,606 escudos for essential consumption in 30 days. The reality is dramatic for those earning a minimum wage of 13,000 escudos.
In a round with some operators in the field of essential consumer products, in Praia, A NAÇÃO was able to see that prices are constantly changing, with some products falling in value on the market, but most still remain in the upward direction . These are the cases of rice, flour, milk, chicken, beans and canned goods.
According to an importer, two months ago a bag of sugar cost 3,600 escudos. The value has now increased to 4 thousand escudos. In the same vein, a 25 kg bag of rice, which cost 1700 escudos, is now being sold for 2100.00. Wheat flour followed the same path, passing a 25 kg bag from 1425 escudos to 1750.
Canned goods such as grains and other foods have increased in value, says our source, because of the increase in the international market in the price of packaging, transport, etc.
As far as milk is concerned, the last time they bought it, it was around 0.66 euros, that is, 72 escudos. At the moment the value rose to 0.76 euros, almost 83 escudos, that is, from the cheapest brand, which used to cost, in Cape Verde, around 70 escudos/litre. Mimosa milk, for example, which used to cost between 95 and 100 escudos, is now being sold for 110 escudos.
Cooking margarine has increased by about 40%, as have other butters. On the other hand, he says, oils and olive oils have dropped slightly compared to prices in recent months.
Indeed, in a small supermarket, A NAÇÃO found that, in the case of oil, which reached over 350 escudos in recent months, the value is already at 255 escudos.
In the case of chicken, the meat most accessible to families, the value per kg is 350 escudos, when it used to cost between 195 and 220 escudos, a considerable increase for the national pocket.
Legumes, such as dried beans, are also more expensive, reaching more than 200 escudos per package.
In addition to rising prices, our sources report the lack of many goods on the international market for purchase. This is the case, for example, with pre-fried potatoes, condensed milk, flour, among others.
In addition to imported products, national products, such as vegetables and fruits, are also more expensive.
In mini-markets, a kg of tomato, for example, costs around 300 escudos, when, in some seasons, it costs 60 to 80 escudos. Vegetables, in general, had their prices almost tripled.
20 thousand escudos for a healthy adult
According to the Essential Consumption Index (ICE) of the Association for Consumer Protection (ADECO), in September, the basic minimum consumption of a healthy adult in a month in São Vicente was 20,606 escudos.
Taking into account the national minimum wage of 13 thousand escudos, ADECO points to a deficit of about 7 thousand escudos of the minimum wage for ICE, which means that about 37% of the consumption needs of an adult person cannot be met.
“A true survival drama”, underlines the association, taking into account the satisfaction of the basic needs of a salaried employee with minimum remuneration.
“If the scenario is that this employee has to support other family members, the drama is even more severe”, he observes.
minimum conditions
It should be noted that the ICE calculates the minimum amount necessary to meet basic needs, taking into account variables such as food, electricity, water, butane gas, communication and housing.
With regard to housing, it is based on the value of five thousand escudos for the lease of a T0 (room with bathroom), for the reality of the island of São Vicente.
On other islands, such as Sal, Boa Vista and also in Praia (Santiago), where the cost of living is clearly higher, this value does not apply.
Even with an increase in the minimum wage, the deficit will remain large
Asked about the impact that the announced increase in the national minimum wage should have in 2023, to 14,000 escudos, as announced by the Government, ADECO says that any government effort to increase the value is always welcome, but recognizes that the deficit will continue large, in the order of 6,606 escudos, in case the values of the products do not fall.
“The ICE, an indicator created by ADECO, in addition to being an important tool for monitoring the evolution of prices in Cape Verde, has a social function of comparing the national minimum wage with the ICE. The minimum wage that is now being increased to 14,000 escudos will slightly reduce this large gap between minimum income and minimum consumption (ICE) but the deficit will remain large, in the order of 6,606 escudos”, he explained.
Clearly, he argues, the country will have to make an even greater effort to adopt a minimum wage that is “more dignified” with human conditions and needs.
Prices will remain high until the end of the year
According to government forecasts, the year 2022 is expected to end with a global average increase of almost 8%. However, the value should reduce to less than 4% next year, as stated in the proposed State Budget for 2023.
“Price levels are expected to remain high, accelerating from 1.9% in 2021 to 7.9% in 2022”, predicts the documents supporting the aforementioned proposal.
Food products and alcoholic beverages are referred to as the class of goods and services that suffered the most price growth, representing a risk to food security, especially for lower-income families.
This is followed by housing, water, electricity, butane and other fuels and transport.
The Government recognizes, in the proposal, that the purchasing power of economic agents will be highly affected, which requires greater State intervention, in order to guarantee social balance.
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