Global Food Inflation Expected To Persist Into 2027

(NAFB.com) Global food inflation could accelerate in the coming months and persist well into 2027, as shipping disruptions, higher production costs, and drought threaten supplies. The United Nations’ Food and Agriculture Organization says attacks on Black Sea grain infrastructure have disrupted wheat shipments, while insecurity in the Red Sea has forced ships onto longer, more expensive routes. Meanwhile, conflict involving Iran has driven up fuel prices and disrupted fertilizer exports through the Strait of Hormuz, adding costs for farmers. Dry weather linked to El Niño is also threatening production in India and Southeast Asia. Wheat prices have climbed more than 30 percent in 2026, while rice prices in key Asian exporting countries are up 10 to 13 percent, despite large inventories. The FAO chief economist says the effects could become more pronounced toward the end of this year and continue throughout 2027. The Daily Star said higher food costs are hitting lower-income consumers