Global Food Prices Rise 5% After Hormuz Closure

The World Bank reported a 5% increase in global food prices following the near-total closure of the Strait of Hormuz due to conflict in the Middle East in late February 2026. This increase marks the highest level since January 2024, primarily driven by a 10% surge in oil meal prices and a 3% rise in grain prices.

The analysis indicates that the current food price pressures are less severe than those experienced during the early stages of the Russia-Ukraine war in 2022, when food prices rose by 15% in a similar timeframe. Despite this, the World Bank warns that risks remain, particularly if disruptions persist beyond mid-year.

The report highlights that food inflation is particularly acute in import-dependent regions such as the Middle East and North Africa, with Iran experiencing food inflation rates of 98% as of February 2026. The World Bank projects modest increases in food commodity prices through 2026, with overall food index prices expected to rise by around 2.5%.