Food prices could increase further due to climate change's effect on inflation around the world: Study

A harvesting truck clears up drought-stressed fields in San Jeronimo Sud, Santa Fe, Argentina, on March 12, 2023.The strain that rising global temperatures could have on on the agriculture industry and inflation around the world will likely cause food prices to increase even more, according to new research.

The higher food prices predicted in the future are tied to extreme weather events that could disrupt a sensitive global economy. "Shocks" to agricultural productivity is the main channel that underlies the impact of climate change to food inflation, Kotz said. MORE: 'Small swaps' to climate-friendly diet can significantly reduce carbon footprint, improve health: Study

"They're closer to higher temperatures at which further temperatures increases start to be damaging, especially for most crops," he said.In the higher latitudes, increases in average temperatures cause upward inflationary pressures when occurring during the typical hottest months of the year. However, the opposite occurs when there is an increase in average monthly temperature during the typical colder months for the region.

Excess wet conditions can also trigger an increase in inflation, which can then persist over 12 months, according to the paper.

Source: Energy Industry News (energyindustrynews.net)

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