The ongoing Israel-Hamas conflict has created a dire humanitarian crisis in Gaza, leading to extreme scarcity and soaring prices for basic commodities. Among these, a seemingly ordinary Indian biscuit, Parle-G, which typically costs around Rs 5 in India, is now being sold for as much as Rs 2,400 (over 24 euros) in the war-torn region. This staggering price increase, nearly 500 times its original value, highlights the extent of the economic hardship and desperation faced by Gazan civilians.
Several factors contribute to this exorbitant pricing. The primary driver is the severe food scarcity resulting from the conflict and restrictions on humanitarian aid. Following the escalation of hostilities in October 2023, Gaza has been subjected to a near-total blockade, severely limiting the entry of essential supplies. Although humanitarian aid is permitted, it's often insufficient to meet the needs of the population. Traditional UN food deliveries were suspended amid Israeli allegations that Hamas was seizing and weaponizing the aid. In their place, a new distribution system, Secure Distribution Site 1 (SDS1), was launched on May 27 by the Gaza Humanitarian Foundation, with support from the U.S., Israel, and Switzerland. However, the effectiveness and fairness of SDS1 remain questionable, with reports suggesting that aid is either insufficient or diverted, ending up in black markets.
The closure of borders for extended periods has further exacerbated the scarcity of basic necessities. With minimal aid access, the available goods are subject to conflict-driven hoarding and black marketeering, leading to unprecedented inflation. A list sourced from Gaza reveals shocking prices for other essential items, including sugar (Rs 4,914 per kg), cooking oil (Rs 4,177 per litre), onions (Rs 4,423 per kg), and even a single cup of coffee (Rs 1,800).
The scarcity and high prices have made it difficult for ordinary Gazans to afford even the most basic necessities. A viral social media post showed a Palestinian father who paid over 24 euros for a packet of Parle-G biscuits for his daughter, highlighting the emotional weight food now carries in Gaza.
According to Israeli embassy spokesperson in India, Guy Nir, the inflated prices of goods in Gaza are the result of Hamas looting over 80% of previous aid attempts and reselling to Gazans for outrageous prices.
The situation in Gaza reflects a broader economic collapse in the Palestinian territories. Real GDP contracted by 26% in 2024, with Gaza's GDP falling by 81% and the West Bank experiencing a 19% contraction. Unemployment has soared, reaching 32% in the West Bank. The war has also caused extensive damage to infrastructure, including homes, hospitals, schools, and water and sanitation systems, further disrupting the economy and livelihoods. The World Bank estimates the damage in Gaza alone at $18.5 billion.
The exorbitant price of Parle-G biscuits in Gaza is a stark reminder of the human cost of the ongoing conflict. The humble Indian biscuit, once a symbol of affordability and childhood nostalgia, has become a luxury item, representing the desperation and struggle for survival in a region gripped by war and humanitarian crisis.
