Exploring the linkages of food markets in BRICS and its significance for food security: A TVP VAR and coherence wave-let perspective

Abstract

This study explores the connectedness of BRICS food markets. The food markets selected for the study are soybeans, wheat, rice, corn, and sugar. The selection of each food market is based on the product concentration of each country. The research focuses on analysing the connectedness between the prices of the BRICS food market during different periods. It employs the Granger causality approach to determine the direction of information flow. We use the TVP-VAR connection to examine the propagation of connectedness within the food market. The results revealed that the connectedness among BRICS food markets has increased during the period of crisis. Our results revealed that Russia and China are the largest senders of price shocks across the BRICS economy. To reduce food price shocks, BRICS officials should promote regional coordination, such as cooperative early warning systems, regional food reserves, and coordinat-ed food policies. Promoting indigenous production and exploring alternative import partners is critical to food diversity. Agricultural research and development increase output, decrease prices, and improve food security. Furthermore, vulnerable populations require ef-fective social safe-ty nets to protect them from price volatility. In addition, sustainable agriculture will protect the BRICS countries' food security from climate change and other shocks in the food markets.