El Niño and war to boost food prices

United Nations forecasts indicate that the world is on the verge of a new wave of food price inflation, driven by the impacts of the wars in Iran and Ukraine, as well as the El Niño phenomenon. Food prices are expected to rise further by the end of this year and will continue increasing into the next year, as the impact of rising prices shifts from primary commodities to food prices—this transition typically takes between 3 to 6 months. Factors such as rising oil prices, shortages of fertilizer from the Gulf region, diesel shortages, and adverse weather conditions are increasing costs and affecting food production. Meanwhile, the El Niño phenomenon is causing significant changes in rainfall patterns, which could harm rice harvests and exacerbate global food insecurity.

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