COVID-19 impact on global food security and the role of international community
By Daniela Stratulativ
Disruptions in global value chains and resulting high food prices have different effects on different categories of the population in developing countries. Low-income households who spend a large percentage of their income on food will have to cut other costs, such as education. This in turn will impact the human capital development and level of skills in the economy. In the long-term, it could result in higher unemployment and increased pressure on government’s social programs. On the other hand, small-scale food producers can benefit if they can increase their output by investing part of their income or receiving financial support from the government or banks. In addition, these investments could lead to job creation and increased consumer spending that will have a positive impact on the economy.