Wheat and corn prices rise amid poor global harvests

Global wheat and corn prices are rising due to poor harvests caused by drought, heatwaves, and reduced planting areas. On the Euronext exchange in Paris, December wheat contracts have increased by 22 percent year-on-year. Corn prices have also seen a significant jump, with November contracts rising 37.5 percent from 190 euros to 261 euros per ton.

In the Czech Republic, the harvest of basic cereals is expected to reach 6.39 million tons, which is 16.9 percent lower than last year and the lowest in 14 years. This trend is part of a broader global pattern, with major producers including the EU, USA, Canada, and Australia reporting significant declines in yields. Additionally, Russian attacks on Black Sea port terminals in Ukraine have disrupted exports and increased maritime transport costs and risks.

The Czech National Bank has indicated that the period of falling food prices may be ending, with commodity market trends and poor harvests suggesting that food prices could contribute to higher inflation starting late 2026 or early 2027.