finance
Rising Oil Prices from Iran Conflict Worsen Food Insecurity in Haiti
The conflict in Iran has driven up oil prices, leading to increased fuel costs in Haiti and exacerbating food insecurity for millions. Nearly half of Haiti's population already faces acute food insecurity, with 200,000 people recently entering this status. Government fuel price hikes and gang violence are disrupting supply chains and daily life.
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Haiti, with a population of nearly 12 million, has seen about half of its residents in a state of food emergency even before the recent surge in oil prices linked to the conflict in Iran. The United Nations reported this baseline level of food insecurity. The rising costs have doubled transportation expenses, forcing many residents to reduce meals.
On April 2, Haiti's government announced a 37% increase in diesel prices and a 29% increase in gasoline prices. These changes stem from global oil price surges caused by the Iran conflict. Transportation disruptions have affected supply chains for essential goods.
Joseph, a 35-year-old factory worker in Port-au-Prince, stated that the fuel price increases have made public transportation unaffordable, requiring him to walk two hours each way to work.
He said, "The government raised the prices of gasoline, diesel and kerosene, hitting my family. " Gang violence has compounded the issues by controlling key roads and hindering goods transportation. This has led to fuel prices in some regions exceeding government rates by 25% to 30%.
Organizations like Mary's Meals have adapted by using alternative routes, including boats, to deliver meals to 196,000 children. Emmline Toussaint, main coordinator of Mary's Meals' school-feeding program in Haiti, said the humanitarian situation is severe, with the program providing the only daily meal for many children. 15 per day, according to the World Bank.
Haiti's economy contracted for the seventh consecutive year, with inflation at 32% by the end of fiscal year 2025.
Jean-Pierre, a 35-year-old mother and market vendor in Port-au-Prince, sells produce and expects to raise prices due to higher transportation costs.
4 million people. She noted that rising gas prices will increase costs for all goods. Street vendor Maxime Poulard resells charcoal but anticipates reducing his stock due to elevated expenses. " Erwan Rumen, deputy country director for the United Nations World Food Program in Haiti, reported that about 200,000 people have shifted from emergency to acute food insecurity in recent months.
