Food prices and transportation costs have emerged as pivotal contributors to Ghana’s rising Consumer Price Inflation (CPI), according to a retrospective analysis by the Ghana Statistical Service (GSS).
The analysis, which reviewed data trends since the rebasing of the CPI in 2018, highlighted imported rice, smoked herrings, and other staple foods alongside bus and “trotro” fares as the most significant inflation drivers. These 15 items consistently ranked among the top contributors to inflation over the past six years.
Speaking during a stakeholders’ engagement on Consumer Price Inflation Review, Mr. Simon Tichutab Onilimor, Data Scientist at GSS, emphasized the urgency of addressing these recurring inflation triggers.
“Our data show that bus and trotro fares alone ranked among the top 15 inflation drivers in nearly 97% of the recorded data points. This underscores the critical role of transportation costs in the inflation equation,” he said.
Thirteen of the 15 key items were food-related, with staples like imported rice, fresh tomatoes, kenkey with fish, and fried plantain with beans consistently experiencing significant price hikes.
The meeting called for broader stakeholder engagement, particularly from ministries involved in food production, to address systemic challenges. Discussions centered on improving food price monitoring, ensuring sufficient production, and addressing inefficiencies in the supply chain from farms to markets.
Mr. Onilimor also emphasized the importance of understanding the price disparity between farm gate and market levels, which significantly impacts consumer costs.
“This analysis shows that median prices for key transportation services and staple foods have risen sharply over the years, accounting for almost a third of average household expenditures. These price changes have a tangible impact on the everyday lives of Ghanaians,” the GSS noted in a statement.
The retrospective review aims to refine inflation forecasting for 2025 by incorporating insights from 2024 data. GSS emphasized the need for strategic interventions targeting key inflation drivers to stabilize consumer prices and improve living standards.
As inflation continues to shape Ghana’s economic narrative, addressing the structural factors driving food and transportation costs remains a critical priority for policymakers.