PARIS - A knock to food consumption in a global recession triggered by a coronavirus epidemic could produce a “market shock” of tumbling agricultural prices, the U.N.’s food agency and the OECD said on Thursday.
“The macroeconomic shocks induced by the COVID-19 pandemic are expected to put downward pressure on agricultural commodity prices,” they said, adding there was potential for “a historically significant market shock” this year. It marked their first analysis of the possible consequences of the new coronavirus on agricultural markets.
“The markets have done a good job of getting over the initial shock,” OECD Secretary General Angel Gurria told an online news conference.
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