Food inflation, agri‐food trade, and COVID‐19: Evidence from South Asia

Abstract

The COVID‐19 pandemic profoundly affected food security by disrupting supply chains through border closures Our study concentrates on South Asia and examines the interplay between COVID‐19, agri‐food trade, and inflation using monthly panel data spanning 2018–2021. Our findings demonstrate that the pandemic notably escalated food inflation in the region. Nevertheless, the robust interaction of agri‐food trade with COVID‐19 helped alleviate this effect. This underscores the significance of trade policies in controlling food inflation during the pandemic in South Asia.