World food prices have come close to the 2007/2008 crisis levels but global supplies are stronger now, according to TradeArabia.com, citing a United Nation’s food agency economist.
The agencyโs food price index hit 27-month high in October.
‘In terms of price levels internationally I think the situation is certainly getting closer to the levels that we had seen (in 2007/2008),’ the Food and Agriculture Organisation’s economist Abdolreza Abbassian was quoted telling Reuters.
But food supply situations in many producing and importing countries have improved since the 2007/2008 crisis which triggered food riots in developing countries, he said.
Looking ahead, he said markets expected tightening of global wheat supplies in 2011/2012. Abbassian said increasing food price volatility was alarming and could threaten future food security. โ Source: TradeArabia.com
