At the same time growing concerns about consequences of emissions from burning fossil fuels for climate change, have stoked demand for alternative, potentially cleaner, energy sources such as bio fuels, prompting production to switch from food to fuel crops and further adding to the pressure on food prices.
Other factors are also playing a role in driving global commodity price developments – supply disruptions owing to unfavourable weather conditions have also made the food shortfalls more acute. Differing competitive conditions in the retail and distribution sectors have contributed to diverging patterns in price changes across countries.