World's breadbaskets are getting pounded by war, weather and trade spats, Pg12

Key Highlights:

• Global wheat supplies are under severe pressure from ongoing conflicts, extreme weather events, and trade disruptions.
• The Russo-Ukraine war has significantly impacted grain exports from the Black Sea, a critical global trade route.
• Houthi attacks in the Red Sea are forcing grain shipments to take longer, more expensive routes around Africa.
• Major wheat-producing regions, including the United States and parts of Europe, face reduced harvests due to heatwaves and droughts.
• The Food and Agriculture Organization (FAO) reported wheat prices at a three-year high in July and warned of further increases.

Detailed Insights:

• The Black Sea region, comprising Russia and Ukraine, accounts for nearly one-third of the world's wheat exports.
• The United States is projected to have its worst wheat harvest since 1970, primarily due to severe drought in the Great Plains.
• European nations like France and Germany are also experiencing lower wheat yields because of record summer heat and drought conditions.
• El Nino is further threatening water levels in crucial transit routes such as the Panama Canal and European rivers like the Rhine and Danube.
• The global food system's vulnerability is highlighted by its reliance on a few staple crops and a limited number of exporting countries.
• Rising import costs place significant financial strain on low-income nations, which often subsidize bread prices for their populations.
• Climate change, driven by fossil fuel burning, is intensifying extreme weather events that directly impact agricultural productivity worldwide.

Key Concepts Involved:

• El Nino: A climate pattern characterized by the unusual warming of surface waters in the eastern tropical Pacific Ocean, influencing global weather.
• Food and Agriculture Organization (FAO): A specialized agency of the United Nations that leads international efforts to achieve food security for all.
• Food Security: The state of having reliable access to a sufficient quantity of affordable, nutritious food.