Sunday, December 07, 2008

african market

Although the rice market is free in West Africa, Burkina Faso and Mali imposed bans on their
exports during the second and third quarter of 2008 in response to the soaring food prices
and in order to maintain stable domestic prices. Senegal also reported smuggling to
Mauritania and other neighboring countries after the GOS decided during the third quarter of
2008 to suspend custom duties and subsidize the prices of various rice grades. These
decisions helped maintain relatively low prices for a short period, but quickly proved to be
very expensive and unsustainable for the GOS. Consequently, they were suspended in
September 2008.

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