The new forecast of $1.94 trillion will be an all-time high and up 10% from the record for 2021.
However, the rate of increase is expected to slow due to higher food prices and the devaluation of currencies against the US dollar, according to the latest report. Food Outlook report.
‘Warning sign’
Food prices rose worldwide after Russia invaded Ukraine but have fallen somewhat. Together, these countries produce about 30% of all wheat exports, in addition to other grains and related foods.
While much of the increase in global food import bills will be borne by richer countries, rising food costs have disproportionately affected poorer countries.
The total cost of food imports for low-income countries is not expected to change, although it is projected to decrease by 10% in volume, indicating a growing access problem for these countries. .
“That is alarming signs from a food security perspectiveshows that importers are having a hard time financing rising international costs, potentially heralding the end of their resilience to higher international prices.” FAO speak.
Dig deep
The Food Outlook The report warns that existing differences are likely to become more pronounced.
High-income countries will continue to import from all food products, while the developing world will increasingly focus on essential goods.
Last month, the International Monetary Fund (IMF) approved a new one Food shock window provide emergency financing to lower-income countries.
The FAO welcomed the move, calling it an important step to ease the burden caused by rising food import costs.
Imports related to agriculture
The report also assesses spending on imported agricultural inputs.
This year, the global bill is expected to nearly 50 percent increase to 424 billion USD, or about 112% by 2020, mainly thanks to higher cost of energy and imported fertilizers.
“The negative effects on global agricultural output and food security” are likely to last until 2023, the FAO said.
Commodity conundrum
The food outlook The report is published twice a year by the agency’s Marketing and Commerce Division.
It also contains market supply and usage trends for commodities such as grains, oils, sugar, meat, dairy and fish.
Currently, supply is near record levels, although many factors point to a tighter market coming.
For example, world wheat production is forecast to hit a record 784 million tonnes next year, fueled by a substantial harvest recovery in Canada and Russia.
While this would push global wheat stocks to record levels, the report said accumulation is expected mainly in China and Russia, while stockpiles are expected to fall. eight percent off In the rest of the world.
