Commentary
Many have read that there’s a food crisis looming and there are significant concerns about grain shortages. The main reason for this possible crisis is the Ukraine invasion. However, this is not the full picture.
Many countries around the world have a large deficit in cereal production, which is essential to feed livestock. The main culprit is rising government intervention that has made costs soar even in periods of low energy prices, and an unsustainable level of restrictions that have made it impossible for farmers to continue planting and producing grain.
In 2020, Ukraine produced 3 percent of the world’s wheat, and Russia 11 percent. Together, they produce almost as much wheat as the entire European Union, but the reason is that the EU has made it impossible to produce wheat in an economical way….