Government forces appear to control most of Tigray region and are poised to take the regional capital having surrounded it this week. All attempts at mediations by African leaders have been rejected by the Central Government that feel they have the upper hand and can resolve this rebellion my military force alone. Tigray leaders for their part, facing arrest and imprisonment, must feel they have little to lose by prolonging the standoff. We can only hope that the confrontation has a swift and peaceful resolution. Meanwhile there are over 40,000 refugees in Sudan fleeing the conflict.
The rest of the country is peaceful and life continues more or less as normal. At ECX, prices for current crop Naturals remain elevated even if the volumes are reasonable, as a consequence of intense competition between shippers that still need to cover shorts. New Crop Sidamo is trading at 220 c/lb FOB equivalent and New Crop Limu not much lower at 210 c/lb FOB Equivalent. Meanwhile, cherry prices paid at washing stations in the South (Sidamo, Guji and Yirgacheffe) vary between 19 and 25 Birr and 20 and 25 Birr in Limu.
Birr 38.01 vs the greenback
Have a good weekend.