Harvest Failures and El Niño Forecast Grocery Price Rises in Finland
What happened
Pellervo Economic Research forecasts that the price of a basket of groceries in Finland is expected to increase by 1.5 percent this year and 2.5 percent next year. This forecast notes that coffee prices are likely to rise next year due to the El Niño weather phenomenon, which threatens harvests in Africa and South America. Beef prices are expected to remain high but stable, leading shoppers to buy more chicken and pork.
From yle.fi
Why it matters
The forecast reflects broader issues where war and weather are driving up energy costs, inflation, and affecting agricultural supply. The risk of drought reducing harvests in Africa and South America is cited as the primary driver for future coffee price increases.
War and weather issues are driving up energy costs, inflation, and affecting agricultural supply.
From yle.fi
Who's involved
- FinlandThe country where grocery price forecasts are being made.
- El NiñoThe weather phenomenon threatening harvests in Africa and South America.
- AfricaThe continent facing harvest threats due to weather issues.
- South AmericaThe continent facing harvest threats due to weather issues.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- FinlandSpeculative
Consumers in Finland might face reduced purchasing power due to rising grocery costs.
- agricultureSpeculative
The global agriculture industry could face increased production costs due to rising energy and fertilizer prices.
Keep exploring
The entities involved
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Africa
continent
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South America
continent located mainly in the southwestern quadrant of the Earth
Related events
- Harvest failure, excessive rains leading to floods, and El Niño are causing acute food insecurity across multiple African nations including Malawi, Somalia, and Zambia.
- El Niño threatens global extreme conditions into 2027, deepening food and water insecurity in Africa.
- Global supply prospects affect commodity prices.
- Climate risk assessment shows drought risk affecting agricultural value chains across Africa due to El Niño.
- African economies are facing significant external shocks due to the geopolitical situation in the Middle East, leading to the launch of a response plan.