This report reviews current methods to conduct ENA with the aim of improving them. While using the WFP ENA as the main case to evaluate, the report seeks to be useful for other agencies in their assessments after an emergency. The market component in existing ENA frequently focuses on prices, price changes, and household purchasing power, ignoring the aspects related to market structure that would identify the potential of the market to meet needs. There is an underlying assumption that households without effective demand (purchasing power) will need to receive free food distributions to meet their needs. The report presents a brief summary of the fundamentals of demand and supply related to food aid distributions and their potential effects on the prices. The relationships between shocks, markets, and responses are then drawn.
