Crisis in Ukraine, agriculture (also) pays the price

Published 2022년 4월 27일

Tridge summary

The USDA has reported that the Russian invasion of Ukraine has led to a disruption in agricultural exports from the Black Sea region, causing uncertainties in supplies and increasing commodity prices. This situation, already complicated by COVID-19, increased global demand for agricultural commodities, and climate change-related drought, has resulted in a significant rise in the prices of wheat, corn, vegetable oil, and soybeans in the last 18 months. The war has also triggered high energy and fertilizer costs, further driving up food prices. The economic recovery from COVID-19 has accelerated demand for food, exacerbating the problem. These factors have contributed to a sharp increase in the UN food price index, which reached its highest level since its creation in 1990 in March.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The USDA report is clear: the Russian invasion of the country has cut off agricultural exports from the region and created uncertainties about supplies from the Black Sea, further increasing commodity prices and increasing market volatility The conflict in Ukraine is only the last element that is added to a scenario already burdened by covid-19, by the increase in global demand for agricultural commodities led by China, by the alarm for climate change that between drought and other unknown factors has contributed to inflaming the prices of cereals, oil seeds, but also to slow down logistics, to raise the cost of transport, energy and fuel, making it difficult for many countries to find fertilizers. A picture made even more worrying if we consider that Russia and Ukraine are important exporters of oil and flour from wheat, corn, barley and sunflower. The Russian invasion of Ukraine disrupted agricultural exports from the region and created uncertainties over Black Sea supplies, ...

Source: Agronotizie