Saeed: Food prices to come down from October 15

The prices of fruits and vegetables in the Maldivian market will be reduced from the 15th of next month, Economic Minister Mohamed Saeed said on Thursday.

The government on September 10, assigned the State Trading Organization (STO) to import a total of 23 food items including vegetables and fruits.

The aim is to make the list of imported items easily available for the citizens and the list will be reviewed once a year, he said.

STO Managing Director Shimad Ibrahim said that a temporary system was used to store the goods imported similarly during the Ramadan month. Now two modern warehouses have been set up in the Industrial Village to store the products permanently, he added.

Former Finance Minister Ibrahim Ameer warned that this policy could severely impact private businesses, potentially leading to closures. He further clarified that measures aimed at reducing food prices have no bearing on genuine food security, which means avoiding reliance on other countries during disasters.

Former STO Managing Director Hussain Amr echoed Ameer’s response saying later that the government importing all and every type of essential commodities is not the way to ensure food security.

Amr suggested the government should increase support for local produce, advocating for flour made from locally grown root vegetables like taro to reduce reliance on imported wheat and rice. He also emphasized maintaining a four-month reserve of food import funds and strengthening warehousing for essential commodities to prepare for potential food shortages.

Interestingly, back when Maldivians ate more of their own local produce, mostly yam and home-made flour, locals had less obesity issues.