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In April India said it was hoping to expand its wheat exports from 7 million tons to 10 million. However, as precarious winter wheat harvests reflect lower outputs, they are reversing position and will now block any wheat exports in order to ensure their own supply. INDIA – […] The announcement drew sharp criticism from the Group of Seven industrialized nations’ agriculture ministers meeting in Germany, who said that such measures “would worsen the crisis” of rising commodity prices.
“If everyone starts to impose export restrictions or to close markets, that would worsen the crisis,” German Agriculture Minister Cem Ozdemir said at a press conference in Stuttgart.
Global wheat prices have soared on supply fears following Russia’s February invasion of Ukraine, which previously accounted for 12% of global exports.
The spike in prices, exacerbated by fertilizer shortages and poor harvests, has fueled inflation globally and raised fears of famine and social unrest in poorer countries.
It has also led to concerns about growing protectionism following Indonesia’s halting of palm oil exports and India putting the brakes on exports of wheat.
India, the world’s second-largest wheat producer, said that factors including lower production and sharply higher global prices meant it worried about the food security of its own 1.4 billion people.
Export deals agreed to before the directive issued Friday could still be honored, but future shipments need government approval, it said. ( read more) Don’t look now, but there’s an ideological alignment in the background of these decisions.
Turkey and Egypt will be receiving wheat export from India, both nations are aligned against the western position toward Russian sanctions. Turkey said a few days ago they would not approve of Finland joining NATO (the irony of Turkey in NATO not withstanding).We need to watch […]
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