OECD-FAO Agricultural Outlook 2016-2025

This 2016-2025 Outlook report perceives that significant production growth is needed to meet the expanding demand for food, feed and raw products for industrial uses, and all of these have to be done in a sustainable way.

The OECD-FAO Agricultural Outlook 2016-2025, published in July 2016, projects inflation-adjusted agricultural commodity prices will remain relatively flat overall in the coming decade. However, livestock prices are expected to rise relative to those for crops.

According to the report, as incomes improve, especially in emerging economies, demand for meat, fish and poultry will demonstrate strong growth. This creates additional demand for feed, particularly from coarse grains and protein meals, causing their prices to rise prices relative to food staples such as wheat and rice. 

Globally, the increased demand for food and feed for a growing and more affluent population is projected to be mostly met through productivity gains. Yield improvements are expected to account for about 80 percent of the increase in crop output.

According to baseline analysis made in the Outlook, under a "business as usual" scenario - in which agricultural productivity grows at the current trend rate and no major action is taken to reduce hunger - projected growth in food availability would result in a reduction in the number of undernourished people in the world from around 800 million now to under 650 million in 2025.

The analysis indicates that in sub-Saharan Africa the rate of undernourishment would decline an estimated 23 to 19 percent. But because of rapid population growth the region would still account for a rising share of the world's population suffering from hunger. Morever in developing countries, human sugar consumption is expected to rise by 15 percent per capita and that of dairy products by 20 percent over the projection period.

This implies that without decisive steps to move away from business-as-usual, hunger would not be eradicated by 2030 - the global target recently adopted by the international community - and that decisive action is needed.

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More information: Outlook report



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