Effects of COVID-19 on international trade in food and agro-based products

ABSTRACT

The COVID-19 pandemic has affected almost every sector of the economy, including international trade in food and agro-based products. The aim of the study is to examine the international trade of food and agro-based products among several countries in the pre- and in-pandemic period, focusing on the first four waves of pandemic. The study concludes that the COVID-19 pandemic has affected international trade in food and agro-based products due to government restrictions (border closures, export-import restrictions). In some countries, there was a shortage of some goods only initially for a transitional period, but as global supply was still satisfactory, an optimal distribution of products among countries was able to eliminate any shortages. The greatest negative impact of the pandemic has been on US trade, but it has spilled over to almost every country, especially its two main trading partners, the European Union and China. In terms of products, the biggest disruptions were in international trade in meat and meat preparation, fish and other aquatic invertebrates, and tobacco products. In addition to government restrictions, consumer habits have also changed to which actors have had to adapt. In addition, some of the habits have remained, which will also have an impact on future trade. International trade cannot be completely demolished but in the future countries must also prepare locally for similar unexpected shocks.