East Asia Forum published an article stating that in just over two months, the world food situation has gone from bad to worse. Calls to not panic fell on deaf ears, even as the Ukrainian military put up stiff opposition to the Russian onslaught. If Ukraine somehow wins the war, it will be decades before its economy and agricultural exports return to their previous levels. Many countries have started to ban exports (See tool, Food & Fertilizer Export Restrictions Tracker) –Indonesia has banned the export of palm oil India has banned exporting wheat, the U.S. is diverting maize crops to produce ethanol to fight gasoline prices, etc. The current crisis involves fuels, fertilizers, and foods, especially wheat and vegetable oils. At the same time, the crisis is now more acute. All of these commodities are experiencing low inventories, curtailed production, and disrupted supply chains. It will not be easy to stop this crisis, much less return to more normal trade patterns. Organizations such as the Agricultural Market Information System and IFPRI could help fill the gap to ensure commitment to a firm pledge to avoid any further export restrictions on critical commodities, especially wheat, vegetable oils, and fertilizers. Leaders will also have to agree to reduce, and eventually eliminate, export restrictions on these critical commodities.
Food security now top priority for G20 cooperation (East Asia Forum)
June 05, 2022