This week in agribusiness, food prices are decreasing. However, proper nourishment is becoming a challenge given current global factors. Meanwhile, food waste is an ongoing issue that needs to be solved, especially nowadays. Finally, a modernized Global Agreement with the European Union is in the works.
Interested in more? Here are the week’s major headlines in Agribusiness & Food!
Given inflation and the Russo-Ukrainian war, global organizations seek to transform agri-food systems to guarantee food security and avoid a larger crisis. The food price index fell in April, a good first step to achieving greater purchasing power for foodstuffs around the world. However, not only are food prices and availability an issue; the supply chain crisis is also limiting the availability of food and fertilizers. The war and China’s COVID-19 restrictions are endangering food supply and safety all around the world. Russia and Ukraine account for almost 30 percent of global wheat exports and the Russian Federation is the largest exporter of fertilizers. A lack of fertilizers and a price increase could lead to a decrease in their use in the coming season and possibly beyond, with the real prospect of a fall in productivity further driving prices higher.
Jan Heinvirta, Co-Founder and CEO, Perfekto, and MBN Startup Contributor, shared how food waste is turning into a bigger issue than people imagined. “Every year in Mexico, we toss away over 20 million tons of food throughout the entire supply chain. This is food that is still in ideal conditions for human consumption.”
Along the way, we are not just wasting edible food. We waste important resources, such as soil, water and energy, which are necessary for growing our food. In addition, we erode biodiversity because more land is used than necessary for agricultural production, reducing the natural habitat for plants and animals. On the other hand, consumers are becoming more conscious of why adapting purchasing habits in favor of society and the environment matters.
Mexico hopes the Modernized Global Agreement with the EU be ratified as soon as possible as it will open up greater business opportunities in the agri-food sector to the benefit of both parties. The meeting was held as part of the Mexican official’s work tour through France, within the framework of the presentation of the 43rd World Congress of Vine and Wine to be held next October in Ensenada, Baja California.
In a working meeting at the UN headquarters in Mexico, the Ministry of Agriculture and Rural Development, international organizations and agricultural attaches considered it important to make information systems on the production and disposal of agri-food products transparent enough to prevent speculation. Participants highlighted the impact of the effects of the pandemic and the conflict in Eastern Europe on the supply and demand of products, which have generated an inflationary spiral in energy, transport, basic grains and agricultural inputs and, consequently, in Mexican and global cuisine.