Weather, aborted Ukraine grain deal spell doom to EA food basket
Corn grains fall out of the wagons of the first freight train with corn from Ukraine during unloading at the grain terminal in the port of Rostock. PHOTO | AFP
East African economies are staring at a fresh spike in food prices and a further deterioration in inflation outlook in the wake of adverse weather conditions that have heavily impacted the region, compounded by the collapse of a crucial grain export deal between Russia and Ukraine last week.
Latest data by the United Nations Food and Agriculture Organisation (Fao) shows that Cereal production in the East African region is expected to decline by four percent to 52.8 million tonnes this year from 55 million tonnes in 2022, according to the Fao latest quarterly report on ‘Crop Prospects and Food Situation’ around the world.
