Photo: Francois Lenoir / Reuters
Due to the spread of the coronavirus, many countries have started to stockpile food, such actions threaten the world economy, according to Bloomberg. The Agency indicates that the virus can have long-term impact on the supply chain.
For example, Kazakhstan is one of the largest suppliers of wheat flour, has banned the export of this product along with the carrots, sugar and potatoes. Serbia stopped the supply of sunflower oil and other goods to and from Russia temporarily banned the export of cereals.
Although food is sufficient, delivery of products is complicated by logistical hurdles, and according to analysts, the situation is getting worse. Independent consultant Ann Berg did not rule out that taken by the authorities of the countries restrictive measures could spread to food policy. This is the ultimate risk to result in higher prices.
Against the backdrop of global quarantine, the global economy will the global slowdown. In particular, the closure of factories and reduction of air travel lead to a drop in manufacturing activity. For example, in the Eurozone the index fell to the lowest level since 1998.
Earlier, the international monetary Fund said that in 2020 the high probability of a global recession. According to forecasts of the head of the organization of Kristalina Georgieva, the situation may be the same as during the global financial crisis in 2008, and even worse.
Video, photo All from Russia.