However, according to the OECD’s Agricultural Outlook 2002-2007 published on 16 July, world agricultural prices should gradually rise from their current weak levels as the economic recovery strengthens at the end of this year and into 2003. It forecasts a more marked increase in prices for certain meats and dairy products than for cereals and oil seeds.
The report says world agricultural markets will improve between now and 2007. Much of this will be due to stronger demand and growing imports in rapidly developing countries outside the OECD. The growth in trade of livestock products and feedstuffs will continue to be faster than that of food grains. Yield and productivity rather than increased land use will contribute most to crop expansion.
The Outlook provides a comprehensive set of projections for all sections of agriculture over the next five years. It also takes a special look at Russian agriculture and at the issue of food security in developing countries.
©OECD Observer No. 233, August 2002