“The challenge therefore is not to produce enough calories, it is making nutrient-rich foods more affordable,” Torero said, adding that local food production would greatly reduce the costs associated with a healthy diet.

In Africa, costs would be reduced by almost 80% with locally produced foods versus a standardised global food basket.

The FAO economist recommended redirecting government subsidies toward more nutrient-rich foods than cereals, like rice and wheat.

He also noted that the investment in local infrastructure and logistics would significantly reduce costs, as “between 70 and 75% of the cost of a healthy diet is generated after food leaves the farm”.

Torero said the part of the world with the highest costs was Latin America, specifically the Caribbean, possibly because of the emphasis on exporting food products rather than creating enough to lower local prices.

For the coming year, Torero highlighted two uncertain factors that could affect food prices: the closure of the Strait of Hormuz, which would further disrupt the global fertiliser supply, and the impacts of the “very strong” El Nino weather pattern, which is expected to peak toward the end of 2026.

– AFP