UN agency warns Ukraine war could trigger 20 percent food price rise: Reuters

The FAO said it was not clear whether Ukraine would be able to harvest crops if the war dragged on (Shutterstock)
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ROME: International food and feed prices could rise by up to 20 percent as a result of the conflict in Ukraine, triggering a jump in global malnourishment, the United Nations food agency said on Friday, according to Reuters.

The Rome-based Food and Agriculture Organization said it was not clear whether Ukraine would be able to harvest crops if the war dragged on, while uncertainty also surrounded the prospects for Russian exports in the coming year.

FAO said Russia was the world鈥檚 largest exporter of wheat and Ukraine was the fifth largest. Together, they provide 19 percent of the world鈥檚 barley supply, 14 percent of wheat, and 4 percent of maize, making up more than one-third of global cereal exports.

Russia is also a world leader in fertilizer exports.

鈥淭he likely disruptions to agricultural activities of these two major exporters of staple commodities could seriously escalate food insecurity globally,鈥� FAO Director General Qu Dongyu said in a statement.

FAO鈥檚 food price index hit a record high in February, and looks certain to climb further still in the months ahead as the consequences of the conflict reverberate around the world.

FAO said only part of the expected shortfall in exports from Russia and Ukraine could be met by other countries.

鈥淲orryingly, the resulting global supply gap could push up international food and feed prices by 8 to 22 percent above their already elevated levels,鈥� it said.

Between 20 percent and 30 percent of fields used to grow winter cereals, maize and sunflower in Ukraine will not be planted or will remain unharvested during the 2022/23 season, FAO predicted.

FAO said 50 countries, including many of the least developed nations, depend on Russia and Ukraine for 30 percent or more of their wheat supplies, leaving them especially vulnerable.

鈥淭he global number of undernourished people could increase by 8 to 13 million people in 2022/23,鈥� FAO said.

The most pronounced rises would be seen in the Asia-Pacific region followed by sub-Saharan Africa, the Near East and North Africa.

FAO urged other countries not to impose export restrictions on their own produce. 鈥淭hey exacerbate price volatility, limit the buffer capacity of the global market, and have negative impacts over the medium term,鈥� the agency said.

A number of countries worldwide have announced food export restrictions or are considering bans to protect their domestic supplies after Russia鈥檚 invasion of Ukraine, which Moscow terms a 鈥渟pecial operation.鈥�