Prices for basic foodstuffs in Nogmung (Naungmon) Town, in Putao District in the north of Kachin State, have more than doubled in the last three months.
Freight transportation prices have risen due to challenges in transporting goods to Nogmung Town. These include damaged roads, increased fuel costs and checkpoints charging tolls, according to a resident of Nogmung Town, who spoke to KNG.
She said: “We've heard that food prices have gone up due to the rise in freight charges. Even a pack of Thazin biscuits costs as much as 8,000 MMK. The price of tomatoes is now 1,000 MMK per fruit, and we're concerned it could reach 2,000 MMK.”
Currently, in Nogmung Town, tomatoes cost 35,000 MMK per viss (about 1.6kg), garlic is 30,000 MMK per viss, onions are 150,000 MMK per viss, and the price of a bag of eggs has risen to 27,000 MMK
A store owner from Nogmung explained that the price of goods in the town has been rising significantly for about five months due to difficulties in delivering goods from the towns of Myitkyina and Putao to the south in Kachin State. Transportation challenges that have increased freight charges include damaged roads, fuel price rises and tolls, collected at checkpoints operated by both junta-aligned militia groups and the Kachin Independence Army (KIA) along the route.
The store owner said: “In fact, Nogmung and Putao [towns] are only 96 kilometres apart, so if the roads were in good condition, it would be a half-day trip. But now the roads are badly damaged, and fuel prices are rising. Certain sections of both the Myitkyina to Putao and the Putao to Nogmung roads are in poor condition, making it impossible for large container trucks to travel [along those roads]. As a result, we can only transport goods using small trucks, which is difficult. Meanwhile, tolls still have to be paid, forcing us, as shopkeepers, to raise prices.”
Some sections of the Myitkyina to Putao Road were damaged by torrential rains in July and have not yet been fully repaired, making it impossible for large container trucks to use the route. This has resulted in price rises in Putao Town because all goods have to be taken there in smaller trucks, which raises transport costs.
The Myitkyina to Mandalay Road, a vital route for importing basic foodstuffs into Kachin State, has been largely inaccessible since 14 August, due to escalating military tensions.
It is also harder and more expensive to buy goods in Myitkyina and Kachin State due to shortages which means there are fewer goods left to send to Putao and Nogmung towns.
Additionally, days after the Kachin Independence Army (KIA) captured Pang War (Panwa) Town in Kachin State in October, China stopped allowing any goods to cross the border into Myanmar. This means that the flow of goods from China, which was supplying Myitkyina and the rest of Kachin State, has halted, causing even more shortages and rises in commodity prices in Myitkyina.
These difficulties in transportation and supply have had the knock-on effect of increasing prices in Nogmung Town which relies on food supplies being brought up from Myitkyina.