In July 2023, the cost of a basic food basket (BFB) continued to rise, by 1.7% month-on-month (MoM). The cost of the BFB has exceeded last year's levels since the beginning of 2023, except for April and May. In July 2023, it was 4.4% higher (YoY), which is concerning as food prices were already high in 2022. The cost of the BFB was higher in urban markets, at USD 27.7 (+5.2% YoY), as compared to rural markets, at USD 26.4 (+3.5% YoY). Most monitored food commodities showed minimal price fluctuation (<5% MoM) in July, except for sweet potatoes (+7.1% MoM). Snakehead fish (+23.7% YoY) and sweet potatoes (+19.2% YoY) remained significantly more expensive than last year, while vegetable oil (-21.7% YoY) and pork prices (-16.8% YoY) have eased off after a price spike mid-last year. Purchasing power of vulnerable groups dropped slightly in July, by 1.2% MoM, driven by an increase in the cost of the BFB. However, it remained 9.5% higher YoY, likely linked to the gradual recovery from the global food and fuel price crisis, as well as a resumption of agricultural and construction activities. Market performance showed improvements in July, with an uptick in the number of customers visiting markets compared to the previous month. However, a small percentage of reports indicated a rise in rice supply prices amid global rice supply concerns and disruptions in fish supply linked to an ongoing local fishing ban. Wet-season paddy cultivation as of July 2023 exceeded the national plan, despite cumulative rainfall being moderately lower than the long-term average. Cambodia expects slightly warmer temperatures and above-average rainfall. From July 26th to August 4th, 2023, flash floods impacted more than 12,000 hectares of paddy fields across 12 provinces.