UN Predicts Global Food Shortage & Spike In Prices For The Months Of April & Mayjessie tan
As the aftereffects of the Covid-19 pandemic continues to affect one and all, the United Nations Food and Agricultural Organisation (FAO) predicts a food shortage globally in the months of April till May because of a depletion in resources.
According to an article by the South China Morning Post, international agencies and food experts state that the pandemic has already disrupted the food supply chain which has caused a lot of food to increase in prices. The disruption could mostly affect countries with a weaker structure especially if many restrict export.
It has already begun
Based on statistics, FAO reported that they have already begin to see signs of how the lock down is affecting the food supply chain like for example, the slowdown in the shipping industry. They noted how disruption, logistics wise, could be come a reality in the coming months.
The observation was further supported by the UN Committee on World Food Security saying that the disruptions in food supply chains may cause long-term negative effects in the food system which would cause a loss. In just these past few weeks, export restrictions have been enforced on foods such as rice and wheat.
The ever-growing crisis have shaken countries to their core. Vietnam for instance, the world’s third largest exporter of rice, stated plans on Friday (27th March), to save their stocks of rice and with that suspended their new export contract till the end of the month. Besides them, Thailand banned export on eggs for a week after a dip in domestic supply shortage caused a spike in demand and prices to double.
Plantation and livestock
Based on another report by CNBC, FAO also believes that MCOs could come in the way of plantation works and food processors that handle agricultural products will not be able to use farm processing products.
“We are already seeing, however, challenges in terms of the logistics involving the movement of food (not being able to move food from point A to point B), and the pandemic’s impact on livestock sector due to reduced access to animal feed and slaughterhouses’ diminished capacity (due to logistical constraints and labour shortages) like what happened in China,” said FAO.
For the time being, the disruption is at its minimum because food resources are still very much available. However, an increase in prices is already evident in high value products like meat and food commodities like potatoes, vegetables, fish, etc.
Does this mean its only about time? What do you think about this? Let us know in the comments!