Surging food prices and supply fears a threat to EMs

Most EMs are not heavily dependent on Russia or Ukraine for their domestic food supplies, but there are key pockets of vulnerability due to large wheat, corn and vegetable seed/oil exports to Turkey, most of the Middle East and North Africa and parts of Asia. And even if supplies are not disrupted, higher global food prices will push up food inflation in many EMs to multi-year highs and could exacerbate external imbalances in some countries in North Africa.