Agri commodities risk long-term supply, price pressures amid climate change, food insecurity

AGRI commodities such as soybeans, corn, rice and wheat could risk higher volatility and uncertain supply in the longer term, amid intensifying climate change risks and global food insecurity.

For a start, such commodities are sensitive to extreme weather conditions. High temperatures with dry conditions for a prolonged period of time could wipe out crop harvests, while cold temperatures or frost could stall harvests as well.

Such effects are already present, and are likely to get worse, market watchers said.