Global conflicts drive food price pressure in Indonesia – aviNews, the global poultry magazine
`;
document.getElementById(‘delayed-containerImg’).innerHTML = delayedContentImg;
delayExecutionImg(2, insertDelayedContentImg);
Ongoing geopolitical tensions are increasing uncertainty in global supply chains and creating potential upward strain on food prices in Indonesia. Early effects are emerging in rising production and packaging costs across several sectors.
One of the significant cost increases comes from plastic packaging materials used in food distribution. In various global markets, plastic prices have risen around 12.5-77% depending on product types.
This increase is affecting producers, traders, small businesses, and consumers. Higher packaging costs are gradually pushing up production expenses for essential goods.
Cooking oil is among the products experiencing cost hikes. Rising raw material prices, combined with higher packaging costs, are contributing to increased production expenses.
Global supply chain disruptions linked to geopolitical tensions are also affecting logistics and commodity flows. If prolonged, these conditions may add further inflationary pressure on global food prices.
Animal protein products such as chicken, eggs and beef are vulnerable to volatility. These sectors depend on imports of feed raw materials, currency stability, and global trade conditions.
Climate variability, including El Niño, may further affect agricultural output in several countries. At the same time, weaker farm incomes in some regions could impact production capacity.
If these pressures occur simultaneously, global food markets could face stronger price increases. This would affect both raw agricultural commodities and processed food products.
The food and beverage sector may also pass higher costs on to consumers. The situation could worsen if energy prices rise or fiscal support measures are reduced.
Governments and international stakeholders are urged to strengthen coordination and mitigation efforts. Continued cooperation is needed to maintain global food price stability amid ongoing uncertainty.
Related to Market
