According to the latest special report of the World Bank, the global agricultural market continues to remain stable in 2020 because food trade is still more flexible than overall trade , and global production of the three most widely consumed staple foods ( rice , wheat, and corn ) is at or near historical highs. However, the prices of certain economic crops have been suppressed by the slowdown in global demand.
Food safety issues are more important
The report pointed out that the food safety issues are more important after the COVID-19 outbreak. Many countries strive to keep agricultural operations safe, and the market can still provide affordable and nutritious food.
In view of the status of global food supplies, some countries restrict food exports that may compromise the food security of importing countries. In response, the World Bank and other organizations have called for collective action to keep the food trade channels between the countries open.
The current major risks to food security still exist. As the COVID-19 epidemic continues, domestic food supply chains are interrupted, and other shocks affect food production. For example, the reduction in income and remittances are putting many developing countries into serious tension and food security risks.
New crisis brought by the COVID-19 epidemic
At present, due to the limited number of buyers in the market and the change in consumption patterns, food manufacturers are also facing huge losses in terms of perishable and nutritious food. Although food insecurity is not generally caused by food shortages, the interruption of the supply of agricultural inputs such as fertilizers and seeds or labor shortages may lead to a reduction in crop production in the next season. If farmers are experiencing severe hunger, they may also prefer to buy today’s food instead of planting it for tomorrow, which will increase the risk of future food shortages. In some countries affected by regional conflicts, even without the COVID-19 epidemic situation and social safety distance, their food security and distribution are already very difficult.
The World Food Programme warned that by the end of 2020, 265 million people worldwide are expected to face severe food insecurity, compared with 135 million people before the crisis. The multiple crises caused by natural disasters such as floods, droughts, and locust disasters in 2020 are preventing 23 countries from continuing their food production. A total of 820 million people worldwide are poor and vulnerable groups hit hard by the epidemic crisis. They have long lacked food security. In addition, a sharp currency depreciation (increasing the cost of food imports) and a sharp drop in the prices of other bulk commodities (reducing the ability to import food) are making some developing countries even more difficult.
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