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El Niño may push global food prices higher in 2027, warns report
🇮🇳 India · Economy · 5 h ago
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26.10 12:11 UTC
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S&P Global Warns of Potential Global Food Price Surge by Year 2027
Impact of Rising Farming Costs “The impact on food will likely become much more apparent over the next few months as farmers wrestle with high costs and with shortages of fertilizer and diesel.
Farmers buy seed, fertilizer and fuel months before they sell a crop,” it said, stressing, “The squeeze now bearing down on farm budgets may therefore not reach food markets in force until 2027.
“An exceptionally strong El Niño, expected to peak in late 2026, acts as an environmental multiplier that threatens to unleash severe droughts and floods across key Asian, African and Latin American breadbaskets in 2027,” it said.
S&P Global also warned that global grain reserves remain at historically low levels amid the ongoing Ukraine war, leaving limited capacity to absorb simultaneous crop failures across multiple regions.
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