Topic
global food inflation
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El Salvador food inflation falls to 2.49 percent in July
El Salvador’s annual food inflation decelerated to 2.49 percent in July, down from 3.02 percent in June, marking the lowest reading since February 2026. This decline was accompanied by a drop in headline inflation to 2.49 percent, as reported by the Central Reserve Bank (BCR). Analysts attributed this stability to the country’s dollarized economy and the cooling of global food and fuel prices. While El Salvador maintained the second-lowest food inflation rate in Central America, it remained higher than the deflationary conditions seen in Costa Rica, yet significantly lower than the 5.58 percent rate recorded in Honduras.
Family displaced from farm in Somalia due to extortion by armed groups
A family with four children abandoned their farm in Somalia after armed groups demanded extortion payments for the right to cultivate the land. The family traveled 100 kilometers to a displacement camp, during which one child died, an incident highlighted by World Food Program acting head Carl Skau during a United Nations Security Council debate. This event served as an example of a broader conflict-hunger cycle where war destroys food systems, leading to acute food insecurity for 266 million people globally. UN Secretary-General António Guterres noted that conflict is currently the primary driver of hunger in 12 of the 13 most critical hunger hot spots.
Drought conditions reduce potato crop sizes in Belgium
Belgian farmers, including Mathieu and Stephane Comijn in Amay, reported significantly reduced potato sizes caused by a combination of heavy spring rains and a subsequent period of extreme heat and drought. As the world's leading exporter of frozen fries, Belgium faces a supply challenge as the current crop failed to reach standard harvest dimensions. The Comijn family, which farms 500 hectares, intended to supplement the current shortfall by utilizing surplus stock from 2025.
Morocco Restarts Wheat Imports on 16 September
On 16 September 2026, Morocco’s Office National Interprofessionnel des Céréales et des Légumineuses (ONICL) resumed an import premium for soft milling wheat for shipments loaded through 31 December 2026. The state implemented this mechanism to compensate importers for the gap between landed costs and a reference price of 270 dirhams per quintal, equivalent to approximately US$293 per tonne. Although the 2026 cereal harvest reached a total of 90 million quintals, authorities initiated this policy because only six million quintals of domestic soft wheat were collected by industrial mills, covering only 12% of annual demand. The subsidy formula explicitly ties Moroccan import costs to wheat market prices in France, Germany, Argentina, and the United States, as well as sea freight rates and dollar-dirham exchange fluctuations.
Farmers expect low potato yields in France following recent heatwaves
The National Union of Potato Producers (UNPT) reported that French potato yields are expected to decline by approximately 23% year-on-year due to extreme heat and lack of rainfall. Average yields for table potatoes were projected to reach 37.4 tonnes per hectare, down from 43.5 tonnes in 2025, marking the lowest levels in over 30 years. Farmers expressed concern that these conditions would make it impossible to fulfill existing contract volumes with processors.
UN warns of potential hunger crisis in Somalia
The World Food Programme (WFP) reported that approximately six million people in Somalia faced high levels of hunger due to a combination of drought, conflict, and displacement. Persistent instability, including clashes between government forces and rebel fighters in areas such as Baidoa, hindered aid delivery efforts that have been ongoing for more than three decades. The crisis was further exacerbated by a sharp decline in international aid, leaving the WFP with only a fraction of the funding required to provide necessary assistance.
UNICEF reports rising child malnutrition in Somalia amid aid cuts
UNICEF reported on August 21 that nearly 1.9 million children in Somalia were projected to face malnutrition this year, representing a 32% increase in admissions for severe acute malnutrition and complications. The surge occurred as 205 health and nutrition facilities closed following an 80% drop in funding from donors, including the U.S. and other Western nations. UNICEF spokesperson James Elder noted that the situation was exacerbated by the climate crisis, ongoing conflict, displacement, and increased costs for fuel and fertilizer linked to the war in Iran.
Africa Food Systems Forum Held in Kigali
Heads of state and ministers of agriculture and finance gathered in Kigali, Rwanda, starting August 31 for the Africa Food Systems Forum to address systemic agricultural vulnerabilities. The meeting followed significant disruptions to global supply chains, specifically the closure of the Strait of Hormuz, which caused urea prices to double to over $850 a tonne by April. The forum aimed to move beyond traditional import subsidies toward more sustainable practices, as World Bank projections suggest fertilizer prices will remain over 30 percent higher through 2026.
Drought in Germany and Europe affects food prices and transport
Extreme weather and drought conditions in Germany and across Europe triggered supply chain disruptions, notably forcing ships on the Rhine to carry reduced cargo, which increased transport costs for energy sources like diesel and heating oil. Economic experts, including Torsten Schmidt of the RWI – Leibniz Institute for Economic Research, noted that these higher transport costs were passed on to consumers, contributing to broader inflation. According to an ECB and research institute study published in July 2025, frequent extreme weather events have compromised food price stability and complicated the European Central Bank's mandate for price stability. As of June, euro area inflation reached 2.8%, with high transport costs accounting for 5.3% of that figure.
California drought threatens national broccoli supply
Researchers from Cornell University analyzed 20 years of shipping and drought data to determine that a severe drought in California, which produces 90% of U.S. broccoli, could reduce national shipments by 20.3%. The study noted that California's recurring droughts have already decreased crop yields and planted acreage since 2000, creating supply risks for a population where the East Coast holds 128 million residents compared to 51.6 million on the West Coast. To mitigate these risks, researchers proposed expanding broccoli production to 10 eastern states, noting that while eastern production costs could rise by up to 2.66%, transportation costs could drop by 19.8% during autumn.
UK inflation rises to 2.9% following energy price cap increase
The UK annual inflation rate increased to 2.9% in July, rising from 2.6% in June due primarily to a 13% spike in the household energy price cap linked to Middle East conflict. The Office for National Statistics attributed this upward pressure to significant cost increases in services, including a 12.1% rise in internet services and a 4.1% increase in housing rents. Conversely, inflation in food and items such as clothing and electronics declined. Prime Minister Andy Burnham announced plans to mitigate cost-of-living pressures through measures such as tax cuts on electricity and bus fare caps.
Report Evaluates Progress of Alliance for a Green Revolution in Africa
A new report by Timothy A. Wise evaluated the 20-year performance of the Alliance for a Green Revolution in Africa (AGRA), finding that the initiative failed to meet its original goals of doubling productivity and incomes while halving undernourishment. Despite significant investment from the Gates and Rockefeller Foundations across 13 focus countries, the report concluded that undernourishment in those nations increased by 58% since 2006, with the number of hungry individuals nearly doubling over the last six years. AGRA rebranded in 2022 and shifted its focus to food systems and policy reforms, pivoting away from reporting on its original productivity and poverty reduction metrics toward tracking commercial outputs like seeds produced and enterprises launched.
Rising fuel prices impact school attendance in Cambodia's Tonle Sap region
In the Tonle Sap region of Cambodia, students residing in floating villages like Kampong Prahok relied on gas-powered boats to reach their schools. Rising fuel prices, driven by the ongoing war in Iran, increased the cost of transportation for these students. Consequently, some children discontinued their education to enter the workforce to assist their families financially.
Extreme heat causes earliest-ever Champagne harvest
Extreme summer temperatures in France led to the earliest Champagne harvest on record, with most picking occurring between August 20 and 25, 2025. This shift, occurring weeks earlier than historical patterns, was triggered by hotter springs and summers that accelerated grape ripening and forced winemakers to manage a narrowing window for optimal flavor and acidity. The Champagne industry, which generated $6.6 billion in sales last year, now faces the dual pressure of climate-related production challenges and broader economic concerns including waning consumer demand and potential U.S. tariffs.
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