OECD/FAO Agricultural Outlook

The Organization for Economic Cooperation and Development (OECD) and the Food and Agriculture Organization (FAO) have released their 2016-2025 Agricultural Outlook. In this year’s Outlook OECD/FAO indicated that it sees the period of high prices in crops, livestock and fish products to be largely over, and a new normal of lower prices to set in over the next few years. Demand for agricultural products will continue to be driven by growth in developing countries, whose increasing consumption will reduce the global proportion of people who are malnourished from 11 percent to 8 percent. It is projected that this rising demand will be satisfied through increased productivity gains, with some of the largest gains coming from Sub-Saharan Africa. In Sub-Saharan Africa yield will surpass area growth on this larger production.

The OECD/FAO estimates that demand for cereals will continue to stagnate except in the demand for feed crops and inputs for oils. Over the next decade demand for global trade in grains will be led by growth in feed grains and soybeans, reflecting the increased demand for meat products and oils.

For more information on the results of the report, please visit the Outlook’s website, here.