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Why Donald Trump's trade tariffs are threat to global food security
The Political and Business Daily
|May 04, 2025
DONALD Trump's tariffs will make many things more expensive for his fellow US citizens.
The price of imported cars, building materials and some tech will go up and so will the cost of the food on American dining tables.
The US currently imports around 16% of its food supply, with a large proportion of its fruit and vegetables coming from countries now hit by tariffs.
Mexico stands out. It supplies over half the fresh fruit and nearly 70% of the fresh vegetables consumed in the US.
And even when it comes to home grown produce, the US still depends on imported fertiliser for its crops, with Canada providing up to 85% of its neighbour's supply.
So grocery bills for American families, especially for fresh produce (and processed foods dependent on foreign ingredients) will get higher.
But there will also be a noticeable effect on food prices outside the US.
The consequences could be particularly serious for developing economies that rely on stable international prices to secure affordable food imports.
The prices of many global staples including maize, wheat and soybeans are benchmarked against US markets so when disruptions occur, they reverberate globally.
Research I conducted with a colleague found that when international prices are disturbed, local food prices, especially in developing countries, go up.
Dit verhaal komt uit de May 04, 2025-editie van The Political and Business Daily.
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