Abnormal heatwaves sweeping across parts of southern Europe and China are calling into question crops, thus pushing up world food prices.
United Nations experts are sounding an alarm, with a recent study revealing that global food prices are rising amid record-breaking summer temperatures and supply constraints. The report showed that the food price index rose by 1.3% in July for the first time in three months after hitting a two-year low in June. Price growth is being driven by global supply bottlenecks, including Russia's withdrawal from a grain deal and India's ban on exports of various rice grades. In addition, food prices are adversely impacted by extreme weather conditions, threatening crops in many countries.
After India imposed a ban on rice exports, the Food and Agriculture Organization's (FAO) price index, the UN barometer of world food prices, reached its highest level since 2011. This raised serious concerns about global food security among a large part of the world's population. "This is particularly true for the poorest segments of the population who spend a larger share of their income on food," the organization said.
Although the rate of food price growth remains well below its peak posted last March, rising prices pose a new risk to food inflation, which is already high, experts noted.
