Published:
Wheat is an ingredient in a wide range of goods, including bread, pastries, pasta, and more. This essential ingredient is at a high, and it is estimated that it will soon face a shortage due to recent events of the Russian-Ukrainian War.
Russia and Ukraine are the top 2 wheat producers within Europe’s breadbasket; they account for of all wheat exports. However, the war has led to a halt in wheat exports. For the Ukrainian government to restrict exports “put a point on how serious the situation is,” says , a professor at Texas A&M University. Wheat has become more expensive than the previous week. The estimated shortage can lead to severe hunger in certain areas that struggle to acquire goods. In 2020, approximately people faced starvation, according to a recent report by the Food and Agriculture Organization of the United Nations. Roman Leshchenko, Ukraine’s minister of agrarian and food policy, it is necessary to “meet the population’s needs in critical food products” and prevent a humanitarian crisis. India and Australia have banner years for wheat production. This helps ease some stress on the situation impacting the shortage of wheat in Russia and Ukraine.
The ban on Russian exports has led to other goods essential for helping produce wheat becoming . For example, produces a majority of fertilizer supplied to the United States. Due to the recent ban on Russian exports, many farms in the United States cannot grow enough wheat. As a result, fertilizer prices have already gone up from the previous year. According to Dow Jones, a significant fertilizer producer, two vital fertilizer forms, including nitrogen-based Urea and the world’s most widely used phosphorus fertilizer, diammonium phosphate, are up nearly 99% and.
This wheat shortage will significantly affect many businesses and citizens. As we continue to watch the news, we must keep an eye on the wheat market and its developments, as it is an important product affecting a multitude of markets.
File under