UN Warns Ukraine War Could Spark 20% Surge In Global Food Prices
March 11, 2022 | Tags: ZEROHEDGEUN Warns Ukraine War Could Spark 20% Surge In Global Food Prices
FAO said there's uncertainty whether Ukraine would be able to harvest crops this year as the Russian invasion has disrupted the country's agriculture industry.
Russia and Ukraine account for a quarter of the global wheat trade, about a fifth of corn, and 12% of all calories traded globally.
The inability to export crucial farm goods from the region has led FAO to believe that global food prices, already at record highs, could increase another 8%-20% from here.
"The likely disruptions to agricultural activities of these two major exporters of staple commodities could seriously escalate food insecurity globally," FAO Director-General Qu Dongyu said in a statement.
Dongyu said the disruption could push "international food and feed prices by 8 to 22% above their already elevated levels."
Spring is right around the corner for the Northern Hemisphere. On Friday, Ukrainian President Volodymyr Zelensky urged citizens to begin the planting season despite the conflict.
Governments worldwide are preparing for a global food crisis and are taking steps to safeguard domestic food supplies. Russia announced it would ban fertilizer exports to 'not friendly' countries.
Meanwhile, French President Emmanuel Macron said his country needs to defend 'our food security' after the fallout of the Ukraine conflict. He expects the disruption in the food supply will impact African countries the hardest.
The world's next food emergency is rapidly emerging. World leaders are already blaming Russia for everything from record-high food costs to soaring gas prices. This week, the Biden administration began their propaganda push to blame Russia for high inflation. Russian President Vladimir Putin has conveniently become the scapegoat for the West's inability to control inflation after unleashing trillions of dollars stimulus.