The world's poorest countries are set to face a 56 per cent rise in the price of cereal imports owing to strong demand and depleted world reserves, according to a study published on Friday by the United Nations' Food and Agriculture Organization (FAO), according to dpa. The price increase for the 2007-08 period follows an increase of 37 per cent over the previous two years. Low-income countries in Africa, which rely on imported cereals for their food needs, face an even higher price rise of 74 per cent, according to FAO's latest Crop Prospects and Food Situation report. Higher freight rates and oil prices, as well as the imposition of new export restrictions by major exporting countries, have also been blamed. Higher food prices have already sparked riots in a number of developing countries, including Egypt, Cameroon, Ivory Coast, Senegal, Indonesia, the Philippines and Haiti. In all, a total of 37 countries are currently facing food crises, FAO said. In a statement, the UN agency said it was offering technical and policy assistance to the countries most affected by the high food prices, with field activities starting in Burkina Faso, Mauritania, Mozambique and Senegal. FAO expects world cereal production in 2008 to increase by 2.6 per cent to a record 2,164 million tons. But world cereal stocks are likely to hit a 25-year-low and FAO Director General Jacques Diouf has warned that global commodity prices are unlikely to ease any time soon.
