Food-price crisis hits poor hardest

The world is facing a food-price crisis, according to the World Bank, and the poor are being hit the hardest.

Robert Zoellick, the Bank's president, said in the last two months, rice prices have risen by around 75 per cent globally while wheat prices have soared by 120 per cent.

"While many are worrying about filling their gas tanks, many others around the world are struggling to fill their stomachs, and it is getting more and more difficult every day," Mr Zoellick said.

These rises disproportionately affect the poor, Mr Zoellick added, highlighting that in Bangladesh, a two kilogram bag of rice now consumes about half of the daily income of a poor family, while poor people in Yemen are spending more than a quarter of their incomes on bread alone.

Several factors have led to the rising food prices, including droughts, increased consumption of meat and the production of biofuels.

The International Monetary Fund has also published research showing that more than 20 African countries will see their trade balance worsen by more than one per cent of GDP as a result of having to pay more for food.

The World Bank is asking the international community to spend $500 million to bridge the food gap identified by the UN's World Food Programme to meet emergency needs.

"Governments should be able to come up with this assistance and come up with it now," Mr Zoellick said.