Food price inflation remains high in many low- and middle-income countries. Inflation higher than five per cent is seen in 68.8 per cent of low-income countries and 46.7 per cent of lower-middle-income countries, the World Bank said in a report.
According to the WFP 2025 Global Outlook, an estimated 343 million people are acutely food insecure across 74 countries where WFP operates—10% more than in 2023 and nearly 200 million more than before the pandemic. An estimated 1.9 million people are on the brink of famine in 2024, primarily in Gaza and Sudan but also in Haiti, Mali, and pockets of South Sudan. Conflict, economic factors, and climate remain the main drivers of food insecurity, with 65 percent of acutely food-insecure people living in fragile or conflict-affected situations.
Since November, agricultural, export, and cereal prices have risen, with cocoa and coffee prices driving the increase. Learn more about the latest trends and how the World Bank is addressing food insecurity.
“Since the last update on November 15, 2024, the agricultural, export, and cereal price indices closed 12, 25, and one per cent higher, respectively. A sharp increase in cocoa and coffee prices, which increased 28 and 26 per cent, respectively, drove the increase in the export price index. Maize and wheat prices closed 3 and 2 percent higher, respectively, and rice prices closed 2 percent lower,” said the World Bank report, a copy of which was made available to The Egyptian Gazette.
On a year-on-year basis, prices of all cereals in November were lower than a year ago: maize 9% lower, rice 10% lower, and wheat 2% lower. Maize and rice prices are 14 and 26 percent higher, respectively, than in January 2020, while wheat prices are 1 percent lower, according to the report.
In the Market Monitor for December 2024, the Agriculture Market Information System notes that global wheat, maize, rice, and soybean prices are lower than in 2023, with significant reductions observed across all categories. This reflects a relatively stable global market for the current marketing season, although uncertainties linger.
Climate conditions in 2024, projected to be the warmest year on record, have influenced crop yields in varying ways. Although some regions benefited, others faced challenges, underscoring the vulnerability of agricultural systems to weather anomalies.
FAO indicates that global food production is experiencing diverse trends across commodities. Declines are projected for wheat, maize, and sugar, whereas outputs of dairy, fisheries, meats, oilseeds, and rice are expected to grow. These shifts have implications for global consumption, trade, and stock levels, although food production remains highly sensitive to disruptions from adverse weather conditions, geopolitical conflicts, and policy changes.
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