The current conflict in Europe caused by Russia's invasion of Ukrainehas seriously threatened food security on a global level. This crisis is the last of other challenges that stress the global food supply chain including global warming and supply disruption by the COVID-19 pandemic. Russia and Ukraine are two of the main crop exporters in the world. Together, they produce 30% of the world's wheat supply. Also, Russia is considered one of the world's largest fertiliser exporters which is used for crop production in other countries. As the conflict disrupted the Ukrainian supply, the international sanction disrupted the supply by Russia. In response to the emerging food crisis, India, another world's large crop exporter, considered reducing or banning the export of crops to ensure domestic food security. Together, this has caused global food prices to be almost 30% higher than at the same time last year, according to the UN. The crisis led to a serious threat of food insecurity in areas like Africa, the Middle East, Eastern Europe and Central Asia, and South Asia.

• Apply the theories of absolute advantage, relative advantage and Heckscher-Ohlin to interpret the economic consequences of the global food crisis?

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The global food crisis caused by the conflict in Europe has profound economic implications that can be analyzed through the theories of absolute advan... View the full answer