UN food and the Agriculture Organization (FAO) have said that world food trade should reach an all-time high in both volume and value.
A new report released on Thursday said the decline in global food imports is expected to exceed US $ 1.75 trillion by the end of 2021. This is 14 percent more than the previous year and 12 percent higher than the previous forecast, UN News reports.
According to the FAO’s new Food Outlook, food trade has shown “considerable resilience” to disruptions throughout the pandemic, but soaring prices pose significant challenges for poorer countries and consumers.
According to the report, the rise is due to higher price levels of food products sold internationally and tripled freight costs.
Developing regions account for 40% of the total and their food imports are expected to fall by 20% compared to the previous year. Even faster growth is expected in low-income food shortages (LIFDCs).
In terms of products, the amount of basic foodstuffs, such as cereals, animal fats, vegetable oils and oilseeds, is rising sharply in developing regions. At the same time, in developed regions, valuable foods such as fruits and vegetables, fishery products and beverages account for most of the rise.
According to the report, the outlook for key cereals remains good and the maize and rice harvest is expected to be record high. Cereals and feed for consumption should grow even faster.
The supply situation for oilseeds and derived products is expected to improve somewhat, but stocks will remain below average for the rest of the year. World sugar production should recover after three years of contraction, but still be below global consumption levels, according to the report.
According to the report, meat production should expand triggered by China’s rapid recovery, especially in pork production. A slowdown in trade growth is likely due to declines in leading import regions, mainly in Asia and Europe, it added.
At the same time, milk production is forecast to grow and growth is expected in all major production areas under the leadership of Asia and North America.