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MeetingMeeting documentInternational tea prices: Insights into the nature of price volatility - CCP:TE 22/CRS 2 2022International tea prices are characterized by relatively elevated volatility, which constitutes a major challenge for producers and other market operators. The objective of this document is to identify and examine the nature, extent and implications of volatile tea prices, highlighting possible policy actions. We identify four major sources of price movements based on economic literature and the specific nature of the tea market. These are: 1) global economic activity, as a proxy for shifts in aggregate demand; 2) changes in net supply of tea, to account for tea-specific demand and supply shocks; 3) the value of the United States of America dollar (USD) with respect to that of other major international currencies; and 4) oil prices, as a proxy for energy costs. The applied empirical framework splits the effects of these four factors and estimates the extent of their contribution in explaining tea price booms and busts. Results indicate that the bulk of the price movements in the tea market is attributed to shocks that are specific to the sector, that is changes in the fundamentals of tea demand and supply. It should be noted, however, that the impact of the economic activity on tea prices was greatest in the first three months of 2020, coinciding with the onset of the COVID-19 pandemic and the resulting lockdowns and global economic downturn. Clearly, an effective way to reduce volatility is to bring about a permanently improved balance between supply and demand.
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MeetingMeeting documentInternational tea prices: Insights into the nature of price volatility - CCP:TE 22/CRS 2 2022International tea prices are characterized by relatively elevated volatility, which constitutes a major challenge for producers and other market operators. The objective of this document is to identify and examine the nature, extent and implications of volatile tea prices, highlighting possible policy actions. We identify four major sources of price movements based on economic literature and the specific nature of the tea market. These are: 1) global economic activity, as a proxy for shifts in aggregate demand; 2) changes in net supply of tea, to account for tea-specific demand and supply shocks; 3) the value of the United States of America dollar (USD) with respect to that of other major international currencies; and 4) oil prices, as a proxy for energy costs. The applied empirical framework splits the effects of these four factors and estimates the extent of their contribution in explaining tea price booms and busts. Results indicate that the bulk of the price movements in the tea market is attributed to shocks that are specific to the sector, that is changes in the fundamentals of tea demand and supply. It should be noted, however, that the impact of the economic activity on tea prices was greatest in the first three months of 2020, coinciding with the onset of the COVID-19 pandemic and the resulting lockdowns and global economic downturn. Clearly, an effective way to reduce volatility is to bring about a permanently improved balance between supply and demand.
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No results found.Global climate studies show that not only temperatures are increasing and precipitation levels are becoming more varied, all projections indicate these trends will continue. It is therefore imperative that we understand changes in climate over agricultural areas and their impacts on agriculture production and food security. This study presents new analysis on the impact of changing climate on agriculture and food security, by examining the evidence on recent climate variability and extremes over agricultural areas and the impact of these on agriculture and food security. It shows that more countries are exposed to increasing climate variability and extremes and the frequency (the number of years exposed in a five-year period) and intensity (the number of types of climate extremes in a five-year period) of exposure over agricultural areas have increased. The findings of this study are compelling and bring urgency to the fact that climate variability and extremes are proliferating and intensifying and are contributing to a rise in global hunger. The world’s 2.5 billion small-scale farmers, herders, fishers, and forest-dependent people, who derive their food and income from renewable natural resources, are most at risk and affected. Actions to strengthen the resilience of livelihoods and food systems to climate variability and extremes urgently need to be scaled up and accelerated. -
Book (series)FlagshipThe State of Food and Agriculture 2019
Moving forward on food loss and waste reduction
2019The need to reduce food loss and waste is firmly embedded in the 2030 Agenda for Sustainable Development. Food loss and waste reduction is considered important for improving food security and nutrition, promoting environmental sustainability and lowering production costs. However, efforts to reduce food loss and waste will only be effective if informed by a solid understanding of the problem. This report provides new estimates of the percentage of the world’s food lost from production up to the retail level. The report also finds a vast diversity in existing estimates of losses, even for the same commodities and for the same stages in the supply chain. Clearly identifying and understanding critical loss points in specific supply chains – where considerable potential exists for reducing food losses – is crucial to deciding on appropriate measures. The report provides some guiding principles for interventions based on the objectives being pursued through food loss and waste reductions, be they in improved economic efficiency, food security and nutrition, or environmental sustainability. -
Journal, magazine, bulletinBulletinChanges from changing climate
RSN magazine No. 22. February 2024
2024Also available in:
No results found.This magazine is based on contributions from secretariats of regional fisheries management organizations, regional fisheries advisory bodies, permanent observers and related networks and partners, as well as colleagues from FAO and other agencies and organizations working on matters relevant to these bodies. The publication of this issue of the RSN Magazine was made possible thanks to the funding provided by the Government of Japan. The Fisheries and Aquaculture Division of FAO hosts and provides the RSN Secretariat services, the venue for biennial meetings, and works with the network day-to-day on technical and operational issues. In this context, the Secretariat will continue working with its members, partners and colleagues, to ensure, as much as possible, that voices and experiences from different regions are being considered.