IFPRI-Myanmar and partners are conducting a number of surveys monitoring the impacts of COVID-19 on Myanmar’s food security. The following is a summary compiled by the Agriculture and Rural Development Sector Coordination Group (ARDSCG) of the September findings. The full set of findings and recommendations can be found here.
Summarized findings
Crop prices and sales are declining
- 63% of communities report less income from crop farming
- Horticulture producers are affected most
- A decrease in border trade (about 0% to India and China) is expected to further reduce market prices
- Increased transportation costs are passed on to farmers in lower prices
- Fewer traders are buying products due to mobility restrictions
Lower yields of monsoon crops expected
- Input costs increased, with sales decreasing from May to July
- 40% of communities report low rain in July and August
Community food and nutrition security improving
- Communities that report receiving government non-food assistance increased dramatically from July to August (7% to 68%)
- Perceived extreme poverty in communities decreased from 17% to 11%
- Communities in Rakhine State report an increase in dry good prices, less access to vegetables, and limited market hours
Supply-side shortages
- 46% of millers report lower milling volumes (30% reduction) and difficulty buying paddy
- Millers are offering lower than average prices for paddy and are selling milled rice at higher than average prices
Commodity trading stabilizing
- Fewer disruptions are reported in August than in previous months. However, 33% report difficulties with marketing and 24% report difficulties with buying
- Traders report lower margins, though prices have been stable
Summarized recommendations
Note: Significant movement restrictions have been put in place since these surveys were conducted
- Union level and local level movement restrictions should take into account, and allow for, necessary value chain functions such as the supply of inputs and the delivery of products to traders and markets.
- Scale up safety net programs (cash transfers) to vulnerable households and farming households that are expected to have lower income from crop sales this season.
- Continue to support the enabling environment around mobile payments for value chain actors.
- Continue to provide loans to agriculture firms and/or extend terms of current loans (38% of millers reported applying for a loan; a World Bank survey found that 48% of agriculture firms have outstanding loans as of May).
- Prioritize the uninterrupted flow of border trade, which will help stabilize market prices.