Terms ofTrade serve as proxy indicators for purchasing power by measuring the relative value of these income-generatingactivities (wages and livestock prices) to the cost of purchasing staple foods (staple food prices). YEMEN Food Security Outlook December 2021 Famine Early Warning Systems Network 3. Analysts working across 30 FEWS NET-monitored countries continuously gather evidence of the current food security situation in areas of concern. Purchasing power is a significant food security constraint, as incomes from constraints labor andlivestock, the main income-generating activities for households and poor households, tend to fluctuate. FEWS NET regularly monitors market prices, staple food production, macroeconomic indicators, trade policies, and shocks that affect market operations and trade. YER currency valuation has fluctuatedin recent years due to foreign intervention in monetary policy, high seasonal demand, increased foreign trade andtrade policy. There are currently twoexchange rates split by monetary governance between the Sana’abased authorities (SBA) and the internationally recognized government (IRG). Livelihood Zone Map illustrates the country by zone, showing areas where people generally have the same options for obtaining food and income and engaging in. Sana’a city serves as awholesale and retail market for households in northern and centralYemen, and Sayoun serves as a reference market for the east.Wheat grain and flour prices are susceptible to the exchange rate ofthe Yemeni Rial (YER) and US Dollar (USD). Al Hudaydah is animportant assembly, wholesale, and retail market in the mostpopulous region in the country where most households aredependent on markets for staple foods. Exchange rate in the parallel market (YER/USD), national in and northern and southern areas, through first week of June 2020. Aden City, located in a trade deficit zone, is thereference market for the southern region and the largest wholesalemarket with significant storage capacity. FEWS NET View original Download Report(PDF 1. Wheat flour is the staple food for most households in Yemen sorghum and rice are most often consumed as a substitute.Households are heavily dependent on imported wheat suppliesreaching the regional trading centers of Sana’a City, Al HudaydahCity, and Aden City-critical markets that supply other urban andrural districts. Throughout November and early December 2020, conflict has continued to disproportionately impact Ma’rib and southern Al Jawf, southern Al Hudaydah, and parts of Ta’izz, Al Dali’, and Abyan, according to data from Intelyse. For each FEWS NET country and region, the Price Bulletin provides a set of charts showing monthly prices in the current marketing year in selected urban centers and allowing users to compare current trends with both five-year average prices, indicative of seasonal trends, and prices in the previous year. YEMEN Food Security Outlook Update December 2020 Famine Early Warning Systems Network 2. The Famine Early Warning Systems Network (FEWS NET) monitors trends in staple food prices in countries vulnerable to food insecurity.
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