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The supply of food around the globe saw a sharp uptick in disruptions, survey data from S&P Global indicated Monday.
Supply shortages matched the record hit at the height of the global financial crisis in 2008.
“Supply shortages surged in April to reach a joint-record level as the war in Ukraine continued to hit global food exports. Reports of increased food prices were meanwhile at the second-highest on record,” said S&P Global economist Usamah Bhatti.
The Global Supply Shortages Index signaled that shortages were just under seven times higher than the normal level, unchanged from March’s four-month high. Freight capacity remained the hardest hit, with reports of shortages at the highest since last December, S&P Global said.
“Transport capacity remains the most severely affected, with reports of a lack of logistical capacity nearly 32 times above the normal level, as vessel shortages and port congestion continue to disrupt the supply of materials. At the same time, while price pressures eased, firms reported that freight costs were rising at 11 times the normal speed,” Bhatti said.
Global price pressures were also unchanged from March at the start of the second quarter, indicating that tightening by central banks around the world has not yet reigned in inflatin. Reports of higher prices for electrical items reached the highest level since May 2021, S&P Global said.