Market-related

Since the onset of civil war in April 2023, millions of people in Sudan have suffered from loss of livelihoods, destruction of infrastructure, and disruption of essential services. With the war still underway, Sudan is facing the world's largest displacement crisis—with 6.5 million displaced people internally and another 1.7 million driven into neighboring countries—and a surge in acute food insecurity, soaring poverty levels, and extensive losses in income, employment, and productive assets.

During 2021 and 2022, global food and fertilizer prices spiked due to several overlapping factors. Demand rose as the world economy emerged from the COVID-19 recession; global supply chains suffered major disruptions associated with the uneven recovery; and the outbreak of war between Russia and Ukraine—both key food and fertilizer producers—generated yet another shock.

Africa’s agricultural sector has the potential to drive important economic growth and development in the region. Agriculture accounts for 16 percent of Africa’s annual GDP and employs over half of its labor force, particularly youth and women workers. Despite the sector’s vast potential, however, African agriculture remains hampered by low resource productivity and little or no value addition; shocks like climate change, ongoing regional and local conflict, and supply and market disruptions resulting from the COVID-19 pandemic and global conflicts have only exacerbated these challenges.

More than half of the adult population in Uganda is employed in the agriculture and fishery industries, with an estimated 36 percent engaging in subsistence agriculture. Despite the importance of agriculture to Uganda’s economy, however, the country continues to suffer from high rates of food insecurity. Small-scale farmers are often particularly hard hit by the cycle of poverty and hunger due to the vulnerability of their livelihoods to price shocks, extreme weather events, and other disruptions.

Conflict continues to drive acute food insecurity and food assistance needs in Sudan, according to a recent FEWS Net alert.

Fighting in the country has expanded into Sudan’s southeast region, a major agricultural production and food storage area. The region typically accounts for more than 50 percent of Sudan’s annual domestic cereal production. Conflict-led disruptions to both agricultural production and trade, including destruction of infrastructure, pose a substantial threat to food availability throughout the country, reports FEWS Net.