Resources

Except for maize, where international export prices reached a 15-month peak amidst supply concerns, global prices of AMIS crops are currently lower than they were a year ago. However, concerns about winter wheat crop conditions in parts of the EU, the Russian Federation, Ukraine, and North America provide support to quotations in some origins.

Markets are also watching for potential changes in US trade policies and the responses from trading partners. This month's feature article reveals no evidence of long-term global yield growth deceleration. Instead, slow yield growth in certain commodities, regions, or countries appears to have been offset by accelerated growth elsewhere.

Yet, caution is in order: Global temperatures in 2024 were the warmest since records began in 1850, necessitating developments of cultivars resilient to temperature and precipitation variations.

The report presents price trends and movements for key food commodities, including dry beans, dry maize, rice, wheat, and Irish potatoes, for May 2024, in selected major regions and markets in Kenya.

The Food and Agriculture Organization of the United Nations
(FAO) and the World Food Programme (WFP) warn that acute food
insecurity is likely to deteriorate further in 18 hunger hotspots,
including a total of 17 countries or territories and one regional
cluster which comprises 4 countries, during the outlook period from
June to October 2024. Mali, Palestine, South Sudan and the Sudan
remain at the highest concern level. Haiti was added to the list of
countries/territories of highest concern due to escalating violence
by non-state armed groups (NSAGs).

The report analyzes the evolution of weekly maize and rice prices in four East African countries - Uganda, Kenya, Tanzania, and Rwanda - in February 2024.

As the year draws to a close, commodity markets have quieted down from the more volatile price movements that have characterized the past two years. With the exception of rice, prices for most grains and oilseeds are 15 to 20 percent below January 2022 levels. Yet, even rice prices have fallen back from recent highs as global production prospects look more favorable than they did in late summer. Despite a slowing global economy, demand for agricultural
products remains strong and is expected to hit record levels in the 2023/24 marketing season. Lower prices mean reduced profitability for grain and oilseed farmers though lower costs for fuel and fertilizer will help mitigate that impact.