Agricultural Production

The FAO Food Price Index rose 3 percent in October to reach its highest level since July 2011. The October Index stood 31.3 percent higher than its October 2020 levels. Last month’s increase was driven primarily by cereal (particularly wheat) and vegetable oil prices.

Alarming levels of hunger and food insecurity are on the rise across the globe. According to the September 2021 mid-year update to the 2021 Global Report on Food Crises (GRFC), an estimated 161 million people in 42 countries/territories have faced Crisis-level (IPC/CH Phase 3) food insecurity or higher. This number is up from the estimated 155 million acutely food-insecure people reported by the GRFC for 2020.

Increasing urbanization plays a major role in shifting patterns of food supply and demand and thus in transforming food systems. These transformations carry significant implications for the livelihoods of rural populations, presenting both challenges and opportunities. A new paper published in Food Security examines some of these impacts in Africa south of the Sahara (SSA) and South Asia, as well as the enabling environments needed to help rural communities benefit from the changes.

Introduction

The COVID-19 pandemic has revealed both the vulnerability and the resilience of food supply chains. Supply chains from farm to retail have been disrupted, primarily by government-imposed lockdowns and other restrictions affecting labor supply, input provisioning, logistics, wholesale, retailing, and food service. Supply chains have also shown a good deal of resilience and innovative capacity to adapt to the major supply and demand shocks they encountered.