Russia’s invasion of Ukraine in February choked supplies of grains and sunflower oil from the Black Sea, worsening existing shortages caused by extreme weather and supply-chain chaos. This sparked fears of a global food crisis, which would hit consumers in poorer nations particularly hard. Prices are now back to levels before the invasion.
Worries over surging global food costs are easing as prices of everything from cooking oils to wheat and corn tumble to the lowest levels in months on increasing physical supplies and as investors reduce their bullish bets on futures markets.
Palm oil, the world’s most consumed edible oil, has plunged more than 45% from its record close in April to the weakest level in a year, while wheat has slumped over 35% from an all-time high in March, and corn has dropped about 30% from its peak for the year.
