“Lower-income households in the UK and the US are struggling to feed themselves,” said Sonia Akter, an assistant professor specializing in agriculture at the Lee Kuan Yew School of Public Policy at the National University of Singapore. Rising prices “will disproportionately affect poor people who spend a large share of their income on food,” she said.
The risks are skewed toward more food protectionism in Asia, said Sonal Varma, chief economist for India and Asia ex-Japan at Nomura Holdings Inc. That could exacerbate price pressures globally, she said.to cap sugar exports at 10 million tons for the market year that runs through September. It appears to be a very precautionary move, given the nation only shipped 7.2 million tons of sugar overseas last year.
That’s setting the stage for some of the most important staples to become more expensive. Benchmark wheat futures have surged 51% this year, palm oil has risen 37%, while a UN gauge of dairy prices prices is up 14%.
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