Global food prices expected to rise
BEIJING — Rising global food demand will push up prices 10 to 40 percent over the coming decade and governments need to boost investment to increase farm production, a forecast by two international agencies said.
Growth in food production has slowed over the past decade even as rising incomes in developing countries boosted consumption, said the U.N. Food and Agriculture Organization and the Organization for Economic Cooperation and Development.
Governments need to find ways to give farmers access to technology to increase output and get more of their crops to market, the agencies said in a report, “Agricultural Outlook 2013-2022.”
Prices are expected to rise 10 to 40 percent over the coming decade, with the cost of meat rising faster and that of grains more slowly.
Higher prices will have their biggest impact in developing countries where some families spend up to 60 percent of their incomes on food.
Investment in farming has fallen in recent decades due to a long-term decline in commodity prices and has yet to rebound despite price spikes since 2008. As a result, annual production growth is forecast to slow to 1.5 percent compared with the past decade’s 2.1 percent.
