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The impact of climate change on food crop productivity, food prices and food security in South Asia

Jayatilleke S. Bandara and Yiyong Cai

Economic Analysis and Policy, 2014, vol. 44, issue 4, 451-465

Abstract: South Asia has been identified as one of the most vulnerable regions in the world to the impact of climate change. Empirical studies carried out in recent years using the partial equilibrium approach suggest that climate change-induced yield losses in agriculture are becoming a serious concern. In this study, we use a global dynamic computable general equilibrium model to examine the impact of changes in crop productivity due to climate change on food prices and food security in South Asia, focusing on five large countries in the region, namely, Bangladesh, India, Nepal, Pakistan and Sri Lanka. Our results suggest that there is likely to be a significant negative impact on food production and prices in all South Asian countries due to climate change-induced agricultural productivity changes. The results further suggest that countries in this region are likely to face problems of food security given that nearly half of the worldùs poor reside in this region and agriculture plays an important role in the gross domestic product (GDP) and employment generation in the region. The results support the need for policy analysts and policy makers in the region to develop climate change adaptation measures that address the likely negative consequences of climate change-induced agricultural productivity losses.

Date: 2014
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Handle: RePEc:eee:ecanpo:v:44:y:2014:i:4:p:451-465