Milling & Baking News - April 21, 2020 - 7

Editorial

The threat looming over global grain supply chain

mid surging demand for groceries over the
Concerns have been expressed about a small numlast several weeks, considerable attention ber of major ports globally, outlets and inlets for vast
has been directed toward the final stages of quantities of grain. Several of the busiest US ports
the food supply chain. Overtime work and height- are situated in locations that have been among the
ened risk of infection exposure have been necessary harder hit by the COVID-19 pandemic, including
to meet consumer demand for food as the severity New Orleans, California and the Pacific Northwest.
of the coronavirus outbreak came to be more widely Yet, elevator operators, port workers, federal inspecunderstood.
tors and others in the face of heightened risk have
Less attention has been directed toward critical continued to do what is necessary to keep the grain
links earlier in the supply chain, particularly those moving. This work may not be as public facing as
beyond the farmgate. Shining a light on the im- supermarket or health care workers, but it is cruportance of keeping the agricultural supply chain cially important and, yes, heroic. What course the
intact and operational was a joint statement issued pandemic will take in the coming weeks and months
March 31 by the directors general of the Food and ahead is difficult to know, and grain companies have
Agriculture Organization of the
worked hard to develop contingency
If the grain sector, for
United Nations, the World Health
plans in the case of interruptions.
any reason, is unable to
Organization and the World Trade
The stakes also are high for growOrganization.
move large quantities of ers, already facing years of depressed
In an extraordinary understategrain to market, people farm income. Dairy farmers and
ment, the leaders said "millions of
growers of produce especially have
will go hungry.
people around the world depend on
been struggling in recent weeks.
international trade for their food security and liveliWhile the United States remains a heavy net exhoods." When acting to protect the health and well- porter of agricultural products, imports of wheat
being of their citizens, countries should "ensure that and other commodities and ingredients have been
any trade-related measures do not disrupt the food on the rise for the last 20 years. Long past is the time
supply chain," they implored.
when trade was limited almost exclusively to generDisruptions in the agricultural supply chain may ic commodities such as No. 1 dark northern spring
result from any number of governmental policies, wheat or No. 2 yellow corn. Users globally, including
such as tighter border crossings or decisions such in the United States, seek functional products cusas a recent one by the Russian government to limit tom suited to consumer needs.
grain exports over the next three months. The WTO/
It's too early to surmise what long-term ramificaFAO/WHO leaders warned such actions raise the tions for global grain trade may emanate from the
risk of global shortages, price spikes and volatility.
current crisis. Many nations may be expected to take
The risk is simple. If the grain sector, for any rea- a harder look at food security issues. Similarly, grain
son, is unable to move large quantities of grain to buyers around the world who have spent the last few
market, people will go hungry. And social unrest decades pressuring suppliers to accommodate ever
will quickly follow.
tighter just-in-time supply chains may rethink those
Imprudent government policy is not the only approaches and instead maintain a prudent degree
threat to the supply chain. If workers are unable, of readiness for interruptions from pandemic, war,
because of illness, or unwilling to complete neces- natural disaster or who knows what. The resilience
sary work at country, terminal or export elevators, of the grain supply chain to date has been impresor trucking, barge or rail lines, supplies could be sive, but vigilance and sensible policies will be necbacked up through the supply chain, preventing essary if potentially catastrophic food shortages are
growers from moving grain to market.
to be averted in the coming weeks and months. MBN
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