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18 July, 2021

Barley news World: Concern over food inflation makes governments impose price limits, grain export prohibitions

Food inflation (retail prices) has become a great concern in numerous countries, especially in Russia, many Asian and South American countries. Governments impose price limits, export prohibitions and export taxes for various commodities, H. M. Gauger GmbH reported earlier in July.

China tries to reduce its dependence on commodity imports. Chinese present annual grain and oilseed imports top 150 mln tonnes.

In 2020/21 ethanol production requires 180 mln tonnes of grain, predominantly corn, and 142 mln tonnes of starch (as per IGC data).

The corona pandemic had stopped production of essential goods in all sectors, and it had almost stopped world traffic. In its aftermath world freight rates have climbed to unprecedented levels.

The EU concentrates on the climate change, its "farm to fork" policy will restrict usable acreage and fertilizer use. Agri-experts claim that EU agricultural production will drop by 20 mln tonnes by 2030, making the EU one of the largest net grain importers of the world.

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