Rising Food Prices in South Asia: A Policy Framework to Mitigate Adverse Effects

The global economic crises that started in 2008 have exposed commodity markets to increasing price volatility and raised concerns for higher inflation, food security and poverty reduction. This seriously affected South Asia, particularly the impact on the welfare of poor and vulnerable populations. This paper describes the food crisis and its effect on the region and outlines policies that countries in the region need to put in place in order to mitigate the risks associated with the adverse effects of the commodity boom. National policies, as well as regional and global level cooperation efforts are needed to improve agricultural productivity and reduce speculative activities that threaten food price stability in South Asia.