Dearness
Everyone is troubled by the skyrocketing inflation, but this inflation will increase its burden in the coming years. The main reason for this will be climate change and its effects. Researchers from Germany’s Potsdam Institute for Climate Impact Research (PIK) said consumer food prices in low-income countries would rise 2.45 times by 2050 despite ambitious climate policies. During this period, producer prices will increase by 3.3 times. Farmers will be less affected by rising consumer prices in low-income countries, but people in these countries will still find it difficult to buy enough and healthy food. This means that the widespread impact of inflation will be seen on people. Experts say that the effect of increasing inflation across the world will be visible on India also.
Farmers are getting very less share
David Meng-Chuen Chen, a PIK scientist and lead author of the study published in ‘Nature Food’, said, in high-income countries like the US or Germany, farmers get less than a quarter of the food expenditure, while in sub-Saharan Africa It is more than 70 percent in the U.S., where farming costs account for a large portion of food prices. This difference highlights how differently food systems work in different regions, she said. The researchers predicted that as economies develop and food systems industrialize, farmers will get a smaller share of consumer spending.
Research was done on 136 countries
For the analysis, researchers evaluated food price components in 136 countries and 11 food groups using statistical and process-based models. Analyzing entire food value chains also helped researchers understand how policies aimed at reducing greenhouse gases affect consumers. Climate policies aimed at reducing emissions in agriculture often raise concerns about rising food prices, Chen said. The long supply chains of modern food systems protect consumer prices from steep increases, according to the analysis.
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