Former U.S Secretary of Agriculture Says Ukraine War Disrupts Food ExportsMay 21, 2022
Sonny Perdue is the former Secretary of the Department of Agriculture for the United States. His latest projections about the food export industry concern the citizens of the country. According to the Fox Business website, Perdue recently shared that the Ukraine War can have a devastating impact on the food sector. He claims that there is a massive inflow of refugees moving from nation to nation.
He further explained that under these circumstances, commercial food exporters could suffer from massive losses. On the other hand, the countries that are hosting the war refugees can suffer from food shortages. He shared that Russia has been one of the largest wheat exporters since 1973. He also shared that the Russian government became self-reliant in tackling the wheat embargo by the US. On the other hand, Ukraine has been operating as a major grain provider for the USA. He claimed that while prices can increase in the USA, there will not be any possible shortages.
Germany has Decided to Join EU Sanctions
A recent report shared by Fox Business claims that Germany has decided to join the EU nation alliance in imposing an oil imports ban on Russia. Germany is highly dependent on Russian oil imports to keep its economy functioning. Following the 6th round of EU financial sanctions on Russia, all EU nations decided to drain the cash reserves of the country by implementing an embargo on oil imports.
Due to its massive oil dependence, the German government opposed the oil embargo proposal on Russia. However, The Wall Street Journal reported a deal between Poland and Germany through the Baltic Sea Ports. After finding a new alternative to their oil requirements solution, the government of Germany has decided to lift its objection to the Russian oil embargo.
During his latest press conference, President Joe Biden claimed that he is not very concerned about the impact of US economy recession predictions. He went on to highlight the low unemployment rates in the region and claimed that the economy was able to make way for 4.5 million new business enterprises last year. It is worth noting that the latest statistics from the Department of Commerce claim that the US economy is detracted by 1.4% in the first quarter of the current year.
Meanwhile, the GDP ratio has also subtracted by a factor of 1.4% during three months period. The economists from Refinitiv postulated that the US economy managed to expand by 1.1 percent, which is the smallest percentage of growth since 2020.
According to Biden, the recession will not remain in effect for long due to the ‘expected’ consumer reports, residential investments, and increasing business operations. He further explained that his administration is not planning to increase the burden of taxes on the middle class and plans to adopt the techniques that ensure better growth opportunities for SMEs.