Global food prices continue to rise, and they are expected to increase further in 2021, putting additional pressure on household budgets while the number of hungry people around the world rises.
The United Nations' food price index has jumped by 18% since 2020, driven by poor weather conditions, government measures to protect supplies, and strong demand, which have led to increased prices for agricultural commodities ranging from grains to palm oil. The Food and Agriculture Organization (FAO) stated that prices are likely to rise further. The increase in food prices is bad news for consumers whose incomes have been affected by the COVID-19 crisis, and it raises concerns about global food security that is impacted by conflicts and climate fluctuations. This is especially seen in the poorest countries, which must deal with social safety nets and limited purchasing power, according to the FAO.
