New Delhi, April 13 (KNN) The World Trade Organisation (WTO) has projected the global trade volume growth at 3 per cent which is 1.7 per cent lesser than the earlier projection of 4.7 per cent owing to the ongoing conflict between Ukraine and Russia.

The global trade body said that forecasts for the global economy are dimmed since the onset of the Ukraine-Russia war on February 24.

Sharp rise in commodity prices is the most immediate economic impact of the crisis, said WTO.

Although Russia and Ukraine have small shares in world trade and output but being key suppliers of essential goods, including food, energy, and fertilisers, supplies has now disrupted because of the war, the global trade body noted.

Director-General of WTO Ngozi Okonjo-Iweala, said "The war in Ukraine…has also damaged the global economy at a critical juncture. Its impact will be felt around the world, particularly in low-income countries, where food accounts for a large fraction of household spending.”

"In a crisis, more trade is needed to ensure stable, equitable access to necessities. Restricting trade will threaten the wellbeing of families and businesses,” she added.

The projection will be updated in October, but an earlier revision could be issued if incoming data permits it, said WTO. (KNN Bureau)