Baku, November 24, AZERTAC

“The world is facing a wave of inflation triggered by extraordinary developments in global commodity prices,” Recep Tayyip Erdogan said on Wednesday, according to Anadolu Agency.

"As humanity, we've felt the effects of the coronavirus pandemic very deeply in every area of our lives," Turkey's president said in a video message to the 37th Ministerial Session of the Standing Committee for Economic and Commercial Cooperation (COMCEC) of the Organization of Islamic Cooperation (OIC).

Imbalances between demand and supply on a global scale led to the surging commodity prices, Erdogan told the meeting being held in Istanbul, Turkey, noting that the UN Food and Agriculture Organization's Food Prices Index saw the 10-year-high increasing by 31.5% in October.

The IMF's All Commodity Price Index increased by 74% in October, while energy prices jumped by 175% and non-energy commodity prices by 20.5%, he added.

Erdogan underlined that natural resource wastage had jeopardized food production and food security and noted that the 8th OIC Ministerial Conference on Food Security and Agricultural Development, also hosted by Turkey last month, had hosted talks on relates issues, including on the agricultural sector, rural development, food waste and reserves, water management, and an OIC strategic products action plan.

"We need to create permanent solutions for issues such as poverty, migration, and climate change that threaten our future. We need to utilize the platforms we have in the most effective way and develop joint policies and programs," he added.

Erdogan highlighted that plans for a preferential trade system to be in force as of July next year were at the top of COMCEC's trade agenda.

"With the participation of the states that are not yet a party to the system, we will carry intra-organizational trade to a much higher level. Our goal is to increase the share of our mutual trade to 25% in our total trade," he said.

Product development efforts under the 50 Shariah Index are also bearing fruit, exemplified by the creation of the index's stock fund by the Turkish Ziraat Portfolio as a concrete investment tool, said the Turkish leader.

The 50 Shariah Index was designed in 2012 by COMCEC to provide a Shariah-compliant benchmark.

Erdogan stressed that this year's ministerial session would discuss the role of Islamic finance in supporting micro-, small-, and medium-sized businesses against COVID-19.

He added: "In the meetings held on technical issues, I attach great importance to the sharing of knowledge, experience, and knowledge-based policy activities by our experts.

"It's also crucial to implement the concrete policy recommendations developed by the working group."