Bloomberg News reports that the cost of growing food is escalating like never before, as per a new report in the US, indicating that the worst effects of inflation and even hunger are yet not over.
Labor, crop cultivation, and fertilizers, every aspect required for crop growth are reaching a level never attained before. The cost of production is anticipated to swell by at least $66.2 billion, equivalent to 18% in 2022, which is the most. The US Department of Agriculture revealed the same.
The rise in farming prices in the United States comes at a time when most nations are resorting to the United States for supplies, as the Ukraine war is roiling the commodity markets and is disrupting the shipment of crucial grain from the Black Sea, which is known as one of the largest breadbaskets of the world. The global price of food has attained record levels in recent months as inflation is rippling through the economies and rising hunger levels.
The Cost of Growing Food Escalates
Bloomberg News also reports that the biggest price jump comes from the feed for raising animals and fertilizers. The cost of wheat and corn continues to stay elevated with the Black Sea exports in turbulence. The markets for fertilizers have risen due to worries that the sanctions related to the Ukraine war would hurt the shipments from Russia, one of the major exporters. The energy crunch in Europe is also compelling some plants to bring their shutters down and curb production.
