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India CPI is 6.1% on higher food CPI (+7.9%) so its real yield is pretty negative.
But did you know that China food CPI is even higher at +11.1%YoY & that's on the downward trend.
These 2 economies have half of the world population & seems like not enough food supply.
But did you know that China food CPI is even higher at +11.1%YoY & that's on the downward trend.
These 2 economies have half of the world population & seems like not enough food supply.
India headline CPI of 6.1% & 5-yr yield of 5%. So if you compare India & Indonesia, the real yield for Indonesia is much better.
If u are a food exporter (USA, Australia etc), I imagine u would eye these markets w/ massive salivation. I mean, they got a lot of people & frankly not enough food otherwise why is food CPI so high in the middle of a RECESSION?
Demand > Supply. Will the flood affect China CPI?
Demand > Supply. Will the flood affect China CPI?
Higher food CPI = good for rural sectors vs urban (producers vs consumers) for both Chinese & India farmers. For India, monsoon is lacklustre in July & hope is for August to be better.
In China, Covid + flooding make people hedge by importing more. https://www.scmp.com/economy/china-economy/article/3095484/chinas-agricultural-imports-surge-june-worsening-us-ties
In China, Covid + flooding make people hedge by importing more. https://www.scmp.com/economy/china-economy/article/3095484/chinas-agricultural-imports-surge-june-worsening-us-ties
So why doesn't someone come & fix this supply logistics in India???
Isn't this an economic opportunity in itself for something that is inelastic in demand?
Isn't this an economic opportunity in itself for something that is inelastic in demand?
Did u know that China’s total imports of grains, including wheat, barley, corn, rice, sorghum and soybeans, jumped 80.6% by volume in June! U can see why. Food CPI is on the downward trend but nudged up a bit lately & flooding may impact supply.
Food = essential = demand sticky
Food = essential = demand sticky
