Load shedding is creating a very interesting dynamic in the markets at the moment. High intensity production is coming under pressure and creating a shortage in the markets and resulting in prices to trade well above that of last year despite lower demand reported as well. Potato price are now about 33% higher compared to last year and 52% higher than the long term average for this week of the year. The lower production is contributing to these higher prices, but there were also more exports to especially Zambia reported, which also supported prices. The latest national average potato price increased to R62.34 per 10kg bag and we are expecting prices to remain above long term averages due to supply constraints. The rain and Nampo this week can again result in lower supply to the markets, but low demand can keep prices in check. But, remember, load shedding is also impacting the processing capacity in the markets with consumers likely to move back to more bulk buying as they are experiencing more financial pressures. We are always expecting a shift in demand, rather than lower demand for food.

Tomato prices decreased by 26% the past week to R11.64 per kilogram due to higher volumes on the markets.

Carrot prices also increased to R7.92 per kilogram and is 66% higher compared to a year ago. I still feel that we can see a significant drop in prices this and next week due to low demand and higher supplies.

Onion prices continued to trade at extremely high levels, increasing to R137.20 per 10kg bag, 157% higher than last year, with volumes decreasing by 15% over the past week. Onion prices are likely to stay at these high levels over the next three months due to lower expected supplies. Brown onion prices increased to R136, white onions increased to R141 while red onion prices decreased to R163 per kilogram.

Pepper prices decreased to R11.10 last week with green peppers decreasing to R10.11 per kg. Red pepper prices decreased to R11.08 while yellow peppers traded lower on R11.31. Pepper prices are now about 26% lower compared to last year.

Other vegetable prices traded as follows: Cabbages on R4.63, Garlic higher on R62.28, Spinach 16% lower on R3.70, pumpkin prices lower on R3.12 while sweet potato prices decreased to R3.47 last week.