Avellon Williams
TRINIDAD AND TOBAGO- The United Nations warned on Thursday that poor countries will suffer the most from the global food crisis caused by the war in Ukraine since they will have to pay more for less food.
As the Ukraine conflict pushes up grain and cereal prices, the global food import bill is set to reach US$1.8 trillion this year.
According to the UN’s Food and Agriculture Organization’s latest Food Outlook, higher prices and transportation costs would account for the bulk of the expected increase, not volume.
“Worryingly, many vulnerable countries are paying more but receiving less food,” the report said.
In 2021, the FAO projected an increase in global food imports of US$51 billion, of which US$49 billion reflected higher food prices.
The least developed countries were anticipated to see a five percent decrease in their food import bill this year.
According to the agency, sub-Saharan Africa and net food-importing developing countries were expected to see a rise in total costs despite reduced imports.
As the FAO predicted, global production of major cereals is expected to decline in 2022 for the first time in four years, and global utilisation is also expected to fall for the first time in 20 years.
Against the backdrop of record input prices, the Ukraine war, weather concerns, and an increase in market uncertainties, the forecasts “point to tightening of food markets and new record high food import bills”, noted FAO economist Upali Galket iAratchilage.
“These are alarming signs from the perspective of food security as it indicates importers will have difficulty meeting rising international costs, potentially signaling an end to their resilience to higher prices.”
