GIEWS Country Briefs

Reference Date: 31-May-2012

FOOD SECURITY SNAPSHOT Area planted with rice expected to be smaller than in 2012 Cereal import requirements increase in 2011/12 (July/June) Rice prices rise

Area planted with rice expected to be smaller than in 2012

Sowing operations of the 2012 cereal crops, mainly rice, are currently under way. The area sown with rice is expected to be about 10 percent smaller than in 2011, mainly because of higher production costs. In Chiriquí, the main producer province, the reduction in area sown is also due to water problems in the Remigio Rojas irrigation system, resulting from a reduction in water flow in the Chico River.

Cereal import requirements increase in 2011/12 (July/June)

Panama imports most of the maize and wheat it consumes, and roughly a quarter of its rice consumption. Cereal import requirements are expected to rise to 592 000 tonnes in the 2011/12 (July/June) marketing year, following crop losses in 2011 as a result of excessive rainfall.

Rice prices rise while maize and bean prices fall

The rise in rice prices over the last two months is mainly due to a supply shortage on the market following the small harvest in 2011. In April, rice prices were 6 percent higher than twelve months earlier. By contrast, maize and bean prices have fallen since January 2012, reflecting the trend of export prices on the subregion’s markets. In April, however, white maize and red bean prices were still 28 percent and 11 percent, respectively, above their levels of a year earlier.