The Food and Agriculture Organization (FAO) has estimated that roughly one-third of food produced for human consumption is lost or wasted globally, a loss that can negatively impact world agricultural markets and food security. On the other hand, it is expected that agricultural investment in developing countries can reduce food loss. Thus, in 2014, at a meeting of the Committee on World Food Security, the FAO required member countries to increase agricultural investment to reduce post-harvest and storage loss. This study examines how agricultural investment can impact food loss and the world rice market using a partial equilibrium model. Agricultural investment and the World Rice Model are a newly developed model that covers world rice markets in 15 countries and regions. This study shows that an increase in constant agricultural investment in eight ASEAN countries will contribute to a reduction in food loss in these countries and lower international rice prices. Ongoing increases in agricultural investment are crucial to mitigate food loss in the world rice market and stabilize international rice prices.

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