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Rapid Market Assessment 2018 Sulawesi Indonesia Earthquake

Subject/Objective: 
Rapid Market Assessment in Palu, Sigi, and Donggala Districts, focusing on food and construction supply chains as representative of basic needs and relief commodities for the impacted population.
Methodology: 
The Rapid Market Assessment combined and modified the Rapid Assessment of Markets (RAM) and Quick Appraisal of Local Market (QUACK) assessment tools (see Annex 1).2 The RAM tool is designed to support decision-making for program modality selection, with questions on the impact of the shock on market availability of beneficiary needs, while the QUACK supports procurement decision-making, looking at more specific availability, pricing, and quality assessment for local purchase and social sourcing. The CRS Rapid Market Assessment combined the two tools, to reduce assessment burden and allow for rapid collection of data needed for both programmatic and procurement decision-making.
Key findings: 
The assessment indicated the following: • Both food and construction materials markets in the impacted area were and remain well-integrated nationally, with diverse suppliers and multiple, overlapping supply chains • The earthquake shock caused major but temporary disruptions to multiple supply chains: blocked roads, closed ports, and looted and damaged storage in the impacted area, as well as overwhelmed airports and supplier markets from increased demand for relief items • Most temporary disruptions to supply chains have been resolved as of one month post crisis: the Palu shipping port and airport are open, the road from market hub Makassar is passable, some backlog and lags in supply chains have cleared, many local vendors that closed after the earthquake have re-opened, with more re-opening over time. • More isolated markets continue to experience interruptions, especially in Sigi in inland Sulawesi, with limited and still damaged road access and damaged market structures. • Stocks have not yet been replenished to pre-crisis levels (average 60% of pre-crisis stock): Average time quoted by vendors to double stock is only five days, but actual stocks remain low. As construction demand increases, replenishment timeframes are increasing for items like cement and CGI sheeting; Evidence indicates that lack of capital, low demand, damage to warehousing, and low supply-side confidence prevents vendors from restocking despite capacity, but further study is needed. • Prices remain slightly elevated from pre-crisis levels (average 103% of pre-crisis prices), and prices appear to be returning to pre-crisis levels as more markets re-open.
Assessment Report: 
Publicly Available
Assessment Questionnaire: 
Publicly Available
Assessment Data: 
Publicly Available
Webspace(s): 
Assessment Date(s): 
14 Oct 2018 to 02 Nov 2018

Level of Representation

District / Province / Locality / County
Status: 
Report completed
Population Type(s): 
All affected population
Leading/Coordinating Organization(s): 
Catholic Relief Services
Location(s): 
Sulawesi Tengah