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The current global condition has fostered a lot of problems on a worldwide scale. The global agri economy had been harmed the most. The current war between Ukraine and Russia has further exacerbated these problems. Ukraine and Russia were very prominent in the supply chain network, however, the Russian and Ukrainian leaders had recently declared that they were limiting exports to help sustain their country’s food requirements. 

How did the pandemic and the war in Ukraine disrupt the global edible oil supply chain?

Well, first off, let’s take a look at the significance that Ukraine and Russia had in the global Agri supply chain before the war happened. Before the war, Ukraine and Russia together were supplying more than 75 percent of the global export volume of wheat. With the advent of war, all economic efforts shifted from keeping up exports to preserving their own country’s food reserves. This meant that Ukraine and Russia had to stop the export of several food products and other Agri primary products. 

The war also exposed the shortcomings in the global supply chain systems. As a result, certain segments of the supply chain systems had broken down. Take for example the port businesses that sustain the export and import industries all around the world. The war almost shut down all ports in the world, which meant that any perishable food products that reached the port went spoiled

The supply chain breakdown mostly affected countries like the European Union, China, and India. These countries were deprived of sunflower cooking oil. Expect the price of edible oil to keep on rising as major edible oil seeds producing countries fall in areas that are experiencing the worst heat waves in the history of summers. This will most probably lead to less crop yield and thus a rise in prices of edible oils. 

Other factors that might affect edible oil prices in the future

Another factor that might show changes in edible oil prices in the future is the push for many countries in the world to create biofuel. Biofuel is made from agri-produces and can be used as a replacement for fossil fuels. 

There has been a push in many countries to adopt biofuel policies. This means that most of the resources and oil seeds that could be used to make edible oil are now being allocated for the making of biofuel. Experts are looking forward to lifting a temporary ban on biofuels to help the 32 million people that could benefit from the rising edible oil prices. 

How to check for the most recent edible oil prices

Checking for agri commodity prices allows you to ensure that you are paying the best prices for your produce. O’AgriFarm has created an easy-to-use and intuitive website that allows users to get the most updated prices for all sorts of agri-goods. The AgriFarms website also displays your goods’ most recent mandi/wholesale rates. 

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