Russia - Ukraine crisis is not the only reason for the global wheat prices to increase rapidly. Justify this statement. (200 Words)
Refer - Business Line
Enrich the answer from other sources, if the question demands.
IAS Parliament 3 years
KEY POINTS
· The war between two important grain producers Russia and Ukraine; and the impact on prices of inputs, including fertilisers, which acts as a disincentive for their use by farmers, and therefore can affect yields.
· In the case of US Hard Red winter wheat, the price increase was as much as 176 per cent over this same period.
· This rapid rise echoes the prices increases of 2007-08, the last global food crisis, when it subsequently emerged that financial speculation in the food markets was an important driver of the sharp increase and then decline after June 2008.
· Global trade in wheat is also projected to fall slightly in 2022, but it will still remain higher than in 2018-20.
· Total consumption (or utilisation) of wheat is actually projected to be lower than production, to the point that stocks are likely to increase in 2022. And global per capita food use will barely budge.
· Two factors are likely to be playing a significant role, and both stem from and now rely on the general public perception that the current food crisis is all about war-related supply shocks
· The almost exclusive emphasis on the fall-out of the war in Ukraine as the cause of the price spike points to the absence of such recognition.
Manish 3 years
Please Review !
Sathishkumar 3 years
please evaluate the ans and give elaborate review
IAS Parliament 3 years
Good Answer. Try to include India's role. Keep Writing.
ANIL KUMAR RAM 3 years
Plz review
IAS Parliament 3 years
Good Answer. Keep Writing.
Rekha 3 years
Kindly review mam/ sir
IAS Parliament 3 years
Good Answer. Try to structure your answer. Keep Writing
Rekha 3 years
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