According to Bloomberg, such factors as drought and the Russian-Ukrainian conflict pose a threat to global food security. The disruption to global supply chains and the ongoing geopolitical conflict exacerbate the situation, posing risks to food security. Against the background of the abnormal heat wave in a number of countries, many rivers have become shallow, and this has seriously complicated navigation. As a result, many supply chains have been cut off and the time of cargo delivery has increased. Considering this backdrop, economists project a global surge in food prices. "There are growing risks of simultaneous major crop losses in different regions in the world, which will really affect food availability and prices," John Marsham, Professor of Atmospheric Science at the University of Leeds, said. Earlier, with food costs falling throughout the year, economists had predicted a global rise in food prices as they are volatile and depend on all sorts of external factors that cause them to spike. The end of the grain deal deteriorated the situation. This had a significant impact on the global food market. Notably, the transport flows of grain, organized under this deal, kept prices in the global market. After the deal is over, food prices will grow, and farmers are likely to reduce farm fields. On July 17, Moscow announced its withdrawal from the grain deal, explaining its decision by the failure to fulfill the terms of the part of the agreement that concerns Russia. At the same time, grain will be delivered to the market through other routes. According to analysts, more expensive logistics will affect prices and further breeding of crops. This will provoke a reduction in global supplies in the near future, Bloomberg reported. According to preliminary estimates, countries such as China, Spain, and Turkey, which are the largest grain importers, will suffer the most from the reduction in supplies. Less developed countries such as Egypt and Bangladesh are also heavily dependent on these supplies, although they buy much less grain.
