What's New

As 2022 came to a close, we attended the GIZ conference “A Year of Multiple Crises: Reflecting the impacts, policy responses and outlook for food security and agriculture in sub-Saharan Africa.” During the event, experts examined the global policy implications of the Russia-Ukraine war regarding food, fuel, and fertilizer, as well as the conflict’s global market disruptions and its particular impacts on African economies.

The FAO Food Price Index rose slightly in April; but remains almost 20 percent below its April 2022 level. Sharp increases in the price of sugar drove the majority of the month-to-month increase.

Agricultural support policies provide over $800 billion per year in transfers worldwide. Such policies encompass a broad range of government instruments to support the agriculture sector, which are typically funded from taxpayers and consumers. These include “coupled” subsidies intended to incentivize producers to expand output, “decoupled subsidies” that avoid shifting production incentives, and market-price support measures such as tariff and non-tariff barriers.

Over the past decade, the world’s food systems have faced multiple significant shocks, from the COVID-19 pandemic and the impacts of the Russia-Ukraine conflict to numerous climate change-driven natural disasters and instances of civil unrest and political instability. These challenges have disrupted markets, driven up food and fertilizer prices and price volatility, reduced food availability and accessibility, and pushed millions of people into hunger.

The FAO Food Price Index continued to decline in March, dropping by 2.1 percent from the previous month. The Index has fallen by almost 21 percent since March 2022.