Wheat prices surged to a new record high in European trading after India decided to ban exports of the commodity as a heatwave. Global wheat prices have soared on supply fears since Russia’s February invasion of agricultural powerhouse Ukraine, which previously accounted for 12 percent of global exports.
The spike, caused by fertiliser shortages and poor harvests, has fuelled inflation globally and raised fears of famine and social unrest in poorer countries.
On Saturday, India, the world’s second-largest wheat producer, said that it was banning exports after its hottest March on record, with traders needing express government approval to enter into new deals. New Delhi said the move was required to protect the food security of its own 1.4 billion people in the face of lower production and sharply higher global prices.