Costly Christmas: Rising food prices strain household budgets

For several households in Kampala, preparing a hearty Christmas feast is becoming increasingly unaffordable.

For Mr Henry Mbaziira, a father of five, the cost of a proper Christmas meal has doubled over the last three years-from Shs300,000 to more than Shs600,000.

A Monitor survey conducted across urban households indicates that eight out of 10 respondents said food costs make up the largest portion of their festive expenses.

Over the last three years, respondents said Christmas meal budgets have risen by 30 to 50 percent.

Ms Lucy Nambalirwa, with a family of three, reported her household expenses for Christmas food jumped from Shs75,000 the previous year to Shs125,000 last year.

Meanwhile, Ms Hilda Nantongo, mother of three, said her budget has remained constant at Shs150,000, though it now buys less than before. For households in slums and low-income areas, even Shs20,000 is considered expensive.

‘The rising cost of living forces many families to cut back or forgo certain food items to stay within budget,’ Ms Nambalirwa said.

Job losses and stagnant incomes, among others, exacerbate the crunch. Mr Mbaziira, who lost his job following the mid-year USAID exit, said the loss of income has forced him to drastically cut festive spending.

According to the Civil Society Budget Advocacy Group (CSBAG), about 15,000 jobs were lost across non-governmental organisations (NGOs), research institutions, and project agencies after the donor exit, with 55 percent of local NGOs downsizing or suspending operations.

Several employees have also gone without Christmas bonuses or salary increments since the Covid-19 pandemic struck five years ago.

‘My salary has not increased, and I have not received a 13th-month bonus. This makes festive spending difficult,’ Ms Nambalirwa said.

Even with relatively low inflation, averaging 3.5-3.9 percent this year, households still feel the pressure.

‘If income is constant but prices rise, the real value of income decreases, especially for low-income earners,’ explained Dr Adam Mugume, director of policy and research at the Bank of Uganda.

Food prices on the rise

According to the Uganda Bureau of Statistics (UBOS), food crops and related items saw inflation of 4.0 percent in the year ending November 2025. Prices of staples like matooke, tomatoes, mangoes, onions, sweet potatoes, and beans are 5-10 percent higher than in previous months.

Charcoal prices have jumped nearly 20 percent, while beef, chicken, millet, and transport fares have risen by at least 5 percent.

‘The cost of transport is a major driver. Many people travel to their villages for Christmas, pushing fares and grocery costs higher,’ Dr Mugume explained. Rising energy prices, particularly charcoal, further escalate festive expenses.

Sources said reliance on imports is eroding domestic food security, CSBAG analysis points to Uganda’s growing reliance on imported food as a key factor driving food inflation.

From 2014 to 2024, imports of staples such as rice, beans, and horticultural products consistently outpaced exports. For example, rice imports totalled Shs1.55 trillion compared to Shs594 million in exports, while beans shifted from a surplus to a Shs122 billion deficit.

Even traditionally strong sectors like fish have weakened, with exports falling from a Shs117 billion surplus in 2015 to Shs4.5 billion in 2025, while imports increased by 275 percent.

CSBAG noted that this dependence on imports from Kenya and Tanzania exposes households to regional price fluctuations and drains foreign exchange that could otherwise support domestic agricultural productivity.

The bottom line

For many Ugandans, Christmas is no longer just a season of celebration-it is also a period of financial juggling, with households cutting back on festive feasts, managing travel costs, and trying to balance school fees, savings, and food security.

‘Affording a hearty Christmas meal today is a challenge for most families,’ said Mr Mbaziira. ‘We try to celebrate, but we do it with caution and compromise.’

Inflation rate in 2025

According to UBOS figures, between June and November 2025, Uganda’s annual inflation rate generally eased, starting at 3.9 percent in June, rising slightly to 3.9 percent – 4.0 percent in July-September, and then easing to 3.1 percent by November, driven by fluctuations in food and energy prices.

According to UBOS, this means that the general increase in prices for goods and services in the country slowed down between June and November 2025.

Food prices

In December 2024, the price of a bunch of matooke in most Kampala markets was between Shs15,000 and Shs40,000.

Prices for local chickens hovered between Shs35,000 and Shs40,000 up from about Shs20,000 in previous months. Beef was sold between Shs15,000 and 25,000 per kg while prices for turkeys varied, with smaller birds at about Shs40,000- Shs60,000, mature birds from Shs150,000-Shs250,000 A kilogramme of rice was priced at around Shs4,000, depending on the brand

December 2025 prices

Matooke: A bunch is sold between Shs35,000 and Shs45,000

Chicken: Each bird is sold at around Shs40,000

Beef: It is sold at Shs20,000 per kilogramme

Turkey: A bird costs Shs150,000 and above

Rice: A kilogramme ranges from Sh2,000 and Shs5,000, depending on brand and origin

Leave a Reply

Your email address will not be published. Required fields are marked *