New Delhi – after Russia invaded Ukraine – the two countries that together make up nearly a third of the world’s wheat supply – this year and with food prices hitting record highs, India has had to intervene to fill in the void. Not yet.
The world’s second largest wheat producer banned wheat exports on Friday due to its own food security concerns, exacerbating the sharp rise in global food prices that potentially affects billions of people and threatens food security around the world.
In a statement from the Ministry of Commerce, Indian officials said they made the decision taking into account the needs of India and neighboring countries. The ministry said India’s food security was “at risk” due to rising international prices.
The announcement came as a surprise a few weeks after Indian officials and international analysts spoke of the possibility of India significantly increasing its exports to partially fill the void created by the war in Ukraine. International food prices UN officials have warned that record levels have soared in recent months, putting pressure on billions of people, especially the poorest in the world.
India tries to adapt to extreme heat but pays dearly
But a record heatwave this spring – March was the hottest month in India’s history – damaged Indian crops and, in some cases, cut grain production by a quarter. According to Indian agricultural researchers and government statistics, when traders rushed to buy food for sale on the international market, the Indian government had a hard time buying for their food bank and ration program.
Like many countries, India is struggling with rising inflation which is ravaging household budgets and even diets. Food inflation rose 8.3% in April, the government said.
Egypt, the world’s largest importer of Russian and Ukrainian wheat, is currently negotiating imports with India. 1 million tons. Turkey and many African countries, also dependent on grain imports from the Black Sea region, have withdrawn from India in recent weeks. India recently sent trade delegations to nine countries, including Tunisia, Morocco and Indonesia, to discuss rising exports.
“At a time when the world is experiencing grain shortages, Indian farmers have stepped forward to feed the world,” Prime Minister Narendra Modi said earlier this month. Visit to Germany. “When humanity is in crisis, India comes out on top”.
Შвела Increase in grain exports The Indian government immediately set up 200 laboratories to test the quality of exports, added more rail cars for shipping and prioritized exports from ports.
At the moment it is not known what he will do after he leaves his position. The Commerce Department, which oversees commerce, said in its ordinance Friday that shipments for which canceled letters of credit have been issued will continue. The Indian government can also grant special permission to export to countries “to meet food security needs”. Otherwise, all exports are blocked.
Tunisia is among the countries that have suffered the great economic consequences of the war in Ukraine.
Analysts say the decision to suspend exports is correct in the face of global uncertainty.
“In the face of climate change and food security problems, we need to be aware of extremism,” said agricultural policy expert Devinder Sharma. “We have many people to take care of. Who knows [whether] Could there be an epidemic again? “
During the pandemic, the federal government provided 5 kilograms of wheat or rice and more than 1 kilogram of legumes each month, about 11 pounds and just over two pounds, respectively, in addition to per capita food subsidy. Earlier this year, the program ran until September.
But the stress on the system was evident when the government announced last week that it would provide more. In the project there is rice instead of wheat.
The sharp rise in global wheat prices was good for traders. The World Bank had predicted that wheat prices in April were expected to be at all-time highs, while this year they rose more than 40%. Wheat exports from India tripled.
Declining production, rising exports and high fuel prices have caused domestic grain prices to rise sharply in recent weeks. Wheat is one of the most popular food crops in the country and rising prices are putting a strain on consumers around the world.
According to experts, India’s latest wheat crisis in 2005 was a story of warning. India’s high exports depleted its reserves, forcing it to import wheat in subsequent years.
“India shouldn’t make the same mistake,” Sharma said. Next year, if necessary, “stocks may not be available and prices will not be affordable”.
Source: Washington Post
John Cameron is a journalist at The Nation View specializing in world news and current events, particularly in international politics and diplomacy. With expertise in international relations, he covers a range of topics including conflicts, politics and economic trends.
