The gap between supply and demand of wheat will reach 6 million tons in 2023

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Rabobank said in a report on Wednesday that the gap between wheat supply and demand will reach 6 million tons next year, 

as supply remains heavily impacted by the conflict between Russia and Ukraine, and the weather outlook in the European Union, the United States and Argentina is uncertain.

Consumers face an increasingly bleak macroeconomic picture, with energy shortages, geopolitical risks and persistent shortages 

of key commodities such as wheat boding badly for global food security, the report said.

Prices of agricultural commodities such as feed grains, oilseeds and coffee are expected to fall in 2023 as many major economies enter a recession.

 But from a historical perspective, agricultural products will remain high.

Carlos Mera, director of agricultural product market research at the bank, said that agricultural product prices may fall, but not because of a substantial increase in production, 

but because demand will be very weak. Still, agricultural commodity prices are still about 50% higher than they were before the pandemic due to surges in energy, labor and other costs.