The Indian authorities have decided on the export ban to ensure food security in the country. But the world market could have used the grain well.
The Indian ban is notable because the country previously said it was counting on record wheat exports.
That the problems are serious, was calculated yesterday by the US Department of Agriculture. The forecast is that 775 million tons of wheat will be harvested, and 788 million tons will be consumed. As a result, inventories are also decreasing.
The war in Ukraine is a major factor in the global grain problem. Ukraine and Russia are both big boys in grain production.
But also in countries such as Australia, Morocco and India, the harvest is disappointing due to the weather.
Bread a lot more expensive
You can clearly notice the effect of this in the Dutch supermarket. Bread and grains were almost 6 percent more expensive last month than a year earlier. But poorer countries and people in Africa and Asia are particularly hard hit by higher food prices.