Agricultural Commodities


In a historical context, the recent price spikes for a number of agricultural commodities while very high in nominal terms, are still below the high prices that have been recorded for agricultural commodities in some past years when measured in real terms i.e. adjusted for inflation. This can be seen from the following price graphs:






These developments along with higher livestock product prices have been translated into rapidly increasing food prices in many parts of the world. This has added to concerns about inflation and deteriorating purchasing power in many developed countries and more fundamental problems of food security, availability and hunger in the poorer sections of populations of many developing countries.




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