KUALA LUMPUR (Aug 17): Domestic food price inflation remains high around the world, according to the World Bank.  

In its Food Security Update on Monday (Aug 15), the bank said information from between April and July 2022 shows high inflation in almost all low- and middle-income countries; 92.9% of low-income countries, 92.7% of lower-middle-income countries, and 89% of upper-middle-income countries have seen inflation levels above 5%, with many experiencing double-digit inflation.

It said the share of high-income countries with high inflation has also increased sharply, with about 83.3% experiencing high food price inflation.

The World Bank said that as of Aug 11, 2022, the agricultural price index was 1% higher than two weeks ago.

It said both maize and wheat prices are 2% higher compared to January 2022, while rice prices are about 6% higher.

Compared to the January 2021 average, maize and wheat price indices are 20% higher, while the rice price index is 16% lower.

According to the World Bank’s April 2022 Commodity Markets Outlook, the war in Ukraine had altered global patterns of trade, production, and consumption of commodities in ways that will keep prices at historically high levels through the end of 2024 exacerbating food insecurity and inflation.

It said following the start of the war in Ukraine, trade-related policies imposed by countries have surged.

The global food crisis has been partially made worse by the growing number of food trade restrictions put in place by countries with a goal of increasing domestic supply and reducing prices.

The bank said that as of Aug 11, at least 23 countries have implemented 33 food export bans, and at least seven have implemented 11 export-limiting measures.

By June 2022 the number of acute food insecure people — whose access to food in the short term has been restricted to the point that their lives and livelihoods are at risk — increased to 345 million in 82 countries according to the World Food Programme (WFP).

In addition, the WFP and Food and Agriculture Organization warned that acute food insecurity could worsen in 20 countries or areas during June to September 2022.