Dependence on food imports from Ukraine and Russia becomes a problem for poor countries
22:29
Countries already struggling with hunger are also the most dependent on imports of agricultural raw materials from Ukraine and Russia, especially on the supply of their wheat, according to an analysis by the United Nations Conference on Trade and Development (UNCTAD).
The war in Ukraine has already triggered a surge in grain prices in the world. This is especially true of wheat, the export of which is both Ukraine and Russia. Cereal prices are rising on stock exchanges around the world. Also in Poland, where the purchase prices of wheat increased to unprecedented levels.
The market is concerned that farmers in Ukraine will not be able to sow their fields due to the Russian invasion. This, in effect, will limit this year's harvest. Some experts, however, point out that Russia may deliberately limit its exports to stabilize the internal market, which is under the burden of sanctions imposed by the West. The Russians are succumbing to a shop panic, which is already causing prices and inflation to rise.
These factors may reduce the supply of some agricultural commodities from Ukraine and Russia around the world. As an example of UNCTAD, there is dependence on Ukrainian and Russian wheat in African countries. In 2018-2020, they imported Russian wheat worth $1.4 billion. It accounted for a third of all their wheat imports. Ukrainian wheat, in turn, had 12 percent. However, when you look closely at the data, a large part of African countries depend on supplies from Ukraine and Russia well above the statistical average.
