Double-Digit Food Price Hikes Loom as Ukraine Conflict Bites
Global food prices may rise by double-digit figures in 2026 due to various factors, including the conflict in Ukraine and extreme heat and drought in Europe. According to Oxford Economics' forecasts, global food prices could increase by 11.8% in 2026 and another 4.8% in 2027.
Agricultural crops, such as grains, fruits, vegetables, and dairy products, are expected to be the most vulnerable. Farmers worldwide are facing adverse weather conditions, rising costs due to increased resource prices driven by conflicts, and disruptions in oil and other goods supply.
The Coceral Association reduced its grain harvest forecast for the EU-27 and UK from 295.5 million tons to 286.6 million tons, while Germany's grain harvest is expected to decrease by 7% compared to last year due to adverse weather conditions.