Marmore: Food Security for the GCC is more a question of accessibility than affordability

Marmore: Food Security for the GCC is more a question of accessibility than affordability

Kuwait – Global events, including COVID-19, climate change, and the Russia-Ukraine war, have shed light on the fragility of global supply chains. Against this backdrop, the “Food Security in the GCC” report issued by Marmore, the research arm of the Kuwait Financial Centre “Markaz”, delves deeper into the various causes of food price inflation and their impact on the GCC, particularly Kuwait. The report also discusses the responses of GCC governments to these disruptions and offers policy recommendations for Kuwait.

Global Food Insecurity Overview:

In 2022, the Global Report on Food Crisis revealed a rise in acute food shortages to 205 million people, up from 135 million in 2019. Wheat, eggs, and palm oil were among the commodities experiencing shortages, with Ukraine's grain and oilseed exports declining due to the war. Despite temporary declines, food prices increased since October 2019, peaking in March 2022.

However, food prices subsequently declined, particularly in July 2022, following the Russia-Ukraine agreement and improved seasonal availability. Stabilization was aided by the Black Sea Grain Initiative and increased vegetable oil supply. The FAO Food Price Index continued its downward trend, decreasing for the 12th consecutive month in March 2023. This decline was driven by sufficient supplies, decreased import demand,