World Food Bills Set to Keep Rising on China’s Crop-Buying Binge
- UN’s food price index extends surge to fresh six-year high
- FAO doubles China corn-import outlook after massive purchases
A pig feed warehouse in Hebei, outside Beijing.
Photographer: Noel Celis/AFP/Getty Images
This article is for subscribers only.
China’s ravenous appetite for crops is further tightening global grain supplies and setting the stage for a prolonged rally in food costs.
A United Nations index of food prices jumped again last month to a fresh six-year high, with grains near the forefront of the advance as China buys huge amounts to feed its hog herds. The stronger-than-expected demand prompted the UN to double its outlook for Chinese corn imports and make a “massive” downgrade to its reserves, revising supply estimates for the past several seasons.