Residents stunned as staple food item surges in price: 'Supply is likely to remain volatile'

Storms and flooding have caused an unusual rise in vegetable prices in Vietnam.

What's happening?

According to Fresh Plaza, Ho Chi Minh City is seeing 20% to 40% gains on produce prices within the span of a week. This is especially true for cucumbers, herbs, and leafy vegetables like Da Lat thorn lettuce and spinach. Some prices have doubled since mid-October.

Nguyen Nguyen Phuong, deputy director of the Ho Chi Minh City Department of Industry and Trade, told DtiNews, "In the Mekong Delta, floodwaters have risen, reducing farming area. Lam Dong Province has suffered landslides, which hinder transport. In the north and central regions, prolonged storms and flooding have caused major crop damage. With cold weather arriving soon in the north, supply is likely to remain volatile."

Heavy rain and high tides have flooded South Vietnam and surrounding provinces. Supply at wholesale markets has dropped heavily, which has negatively affected sales across the board.

"A rice plate used to cost VND35,000 [$1.33]. Now we must charge VND40,000 to VND45,000 [$1.52 to $1.71] to cover higher transport, utility, and rental costs," a rice shop owner in Ban Co Ward was quoted in the article.

Why are rising vegetable prices concerning?

The surge in pricing has more people staying at home and avoiding nonessential purchases, which directly and negatively affects the economy. 

Even more concerning is how extreme weather events are affecting our day-to-day lives. 

Extreme weather events are caused by warmer temperatures. With this year expected to be the hottest year ever recorded, extreme weather is more intense and frequent. It's wreaking havoc on farmers, crops, and economies across the globe.

Weather can diminish a farm's harvest, which dictates demand and pricing. When food becomes scarce, the price goes up because of the short supply. Farmers want to make a profit, but consumers pay the price.

What's being done about the surge pricing?

The demand for fast, affordable meals in Vietnam is slowing. In the meantime, Fresh Plaza reported that major retail chains have come up with price stabilization programs to promote sales. 

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Saigon Co.op launched a year-end promotion campaign with 5% to 50% discounts on products and a network expansion. It includes the opening of Co.opmart Thong Nhat. 

MM Mega Market Vietnam started the "Daily Good Prices" program. More than 2,000 items are discounted between 10% and 35%. 

And the GO! retail system is running its "Buy More, Save More" campaign. It's offering discounts up to 50% and increasing sourcing of vegetables and fresh meat. 

The plan is to continue promotional activities through the end of the year. Phuong hoped that they will support and encourage buyers in an attempt to manage inflation.

With extreme weather becoming more common, so too will grocery surge pricing. Knowing how to plan ahead and shop smarter at the grocery store will be crucial. In addition, there are tips to keep your food fresh longer and great ideas for what to do with leftovers.

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