A speical report by Euromonitor has outlined how record food prices are impacting business and consumers.

The world is facing the challenge of a new food crisis as global food prices have been rising significantly since late 2010.

This is due to tight supply caused by strong demand and bad weather conditions in major agricultural producing countries. While high food prices will benefit agricultural exporting countries, they will burden consumers, especially in low-income households.

Rising food prices would also harm global economic growth and undermine social and political stability.

The global economy is forecast to grow by 4.4 per cent in 2011, slightly down from 4.8 per cent in 2010. Rising food prices, however, will continue posing a major challenge to global food security and thus economic development:

Go to http://blog.euromonitor.com/ for more information.