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.

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?

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

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?

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