Russia’s invasion of Ukraine continues to affect the American and global food industry.
Fertilizer supplies in Brazil are being threatened, with about a fifth of imports coming from Russia. The situation has the potential to drive up the costs of many commodities, as Brazil is a major exporter of beef, corn, coffee, sugar, soybeans and other agricultural products.
China is having a hard time dealing with the conflict. As one of the few friends Russia still has, China is under pressure to help sustain Russia’s economic and financial systems by maintaining and increasing trade. China has tried to increase its self-sufficiency in food, but it still imports up to 10% of its wheat and corn.
American food companies are facing increased pressure to pull back from Russia. McDonald’s and Coca-Cola, in particular, are catching heat on social media, with hashtags #boycottcocacola and #boycottmcdonalds starting to trend. Other companies catching heat for continuing to operate in Russia include Starbucks, PepsiCo and Burger King. Yum Brands, which includes chains like KFC and Pizza Hut that have large footprints in Russia, has announced that it will suspend “investments” there.
LATE-BREAKING: McDonalds, Starbucks, Coca-Cola and PepsiCo announced late Tuesday that they were suspending operations in Russia.