all over the world, you're watching dw, news ly from berlin, coming up next is business news with chelsea delaney for more analysis and all the latest news had to our website. of course d, w dot com a michael, okay, for me and the rest of the team here in berlin. really appreciate your water. ah, what does more do to people or hatred and violence inherited from generation to generation and award winning documentary searches for answers for 2 years, lead alternate companies that sell a fist family in northern syria insights into the isolated world of radical islamists and into a spiral of violence without end a

film about family, faith, masculinity of fathers and sons starts april 16th on dw ah, breaking germany's addiction to russian gas. germany inc. the deal to buy natural gas from guitar and fast trucks to important terminals could just broaden the transition to renewables will have analysis. also coming after the warranty of crane is driving inflation to new records around the world is sac. felicia mack plus an economy and the deadly knock on effects of war. surging deep prices are making food staples on affordable and africa. i'm chelsea delaney. welcome to the

show. germany says it's agreed to long term gas partnership with guitar. that was still working out. the details call me mr. robert hi, back visited the golf nation over the weekend, as part of berlin's efforts replaced russian fossil fuels. guitar is the 3rd largest export of natural gas and russia. and the united states. most of it is exported as ellen. gee, that's liquefied natural gas. cool to minus 162 degrees celsius, turning it into a liquid and making it possible to transport on ships could tar, has the 3rd largest natural gas reserves on the planet after russia. and iran right now, more than 70 percent of its exports go to asia. but tiny guitar has big ambitions at once to boost production by 50 percent in the next 5 years. now some see red flags and a deal to tar has received widespread condemnation for its systematic exploitation

of migrant workers. some of them died while building basketball stadiums for this year's world cup. steven lee, my colleague here at dw business, join me now in the studio to discuss some of these implications. so stephen, this is being really packed as a way to get russian energy out of the next look at our be able to step in and fill that gap. yeah, it's not going to do it alone. right? so, i mean, we think about how much of germany gas comes from russia we've, it's 55 percent of all gas that uses, coming from russia alone, via pipeline. what we're talking about is l n g that has to be transported by ships . and it's best if there are specific terminals in your country until then the elegy is going to have to come into the you network and it was hard to get into germany. so it's complex and it's a long way of saying that, no, this isn't going to be a solution, but at the same time, germany knows that it has to find a solution. the biggest threat abuse in turn is that russia turns off the gas

immediately on its own. but then in the long term, of course, there has to be something that, that gets to that point where you can, you can have the same kind of gas as you go over to renewables. so you're talking about long term contracts here. this implies that this is going to be a multi year relationship. how does that sort of align with germany? is climate goals which don't include having natural gas, other fossil fuels and the next the do include having natural gas with certain point. the idea is that by 2045, germany is going to be climate neutral. and what that means is that by 2035, they want all their electricity to come from renewables. and then they want to have gas in a reserve capacity that is on days when it's not windy or the sun is shining, or then they have something they can fire up in the long term. they want hydrogen to actually replace gas. and so they probably want that before 2045. so if you're talking about a long term contract, for example, of 25 years, which is typical, then that's going to go beyond 2045. and so the question is going to be in what quantity are they going to get this gas and for how long it doesn't match their

goals. but this is an extraordinary situation for the government and they're going to take gas where they can get it. so we want to see the terms. so how does it are, is human rights record play into this deal? right, so robert, how about the economy minister, who did this trip? he actually released a rather i found 4th, right video, a release to his ministry in which he talked about that he said, you know, i thought that they might throw me out of the room when i brought this up. is this a sensitive topic? he said that they were prepared for it and you know, if you look at it, some things have gotten better, you know, there's a minimum wage now the working conditions have improved, but it's still an issue. and basically he saying, you know, i know this is going to be a concern when i come back home. but at the same time i'm talking about it, we're working on it. and of course, in the background is the fact that there is a war lead by russia that, that is your main supply of gas right now. so when you start making these comparisons, you see that it's really hard to choose. sometimes are not hard to choose just there aren't a lot of perfect options, right. even beardsley, thank you so much for joining me in a studio now,

even before the war, inflation was rising at the fastest rate and decades for many countries. that's also been the case here in germany. new data out monday showed producer prices surged by a record 26 percent and february energy cost have exploded since the data was gathered last month, setting the stage for even higher inflation going forward or worse stagflation. after russia invaded ukraine, the price of oil and gas shut up to levels not seen in years. and that's been driving up costs for businesses and consumers worldwide. like in transport, fuel is a major expense for freight companies. if they have to pay significantly more to fill their tanks, then they have to pass the costs onto their customers. this german logistics company says this will raise prices across the board. the think that's true for everything from yogurt to cars in an economy based on the division of labor.

everything we can imagine has to be transported ultimately, and consumers bear the additional costs that arise costs. and the dog was interested and those consumers are already seeing high prices at the fuel pump. their so high that some governments are now looking to cut taxes on fuel or provide other forms of relief. and it's not just gasoline and diesel that have become extremely expensive. food prices are also rising sharply. wheat in particular, it now costs up to 50 percent more than before the war began. and that also makes staple foods like bread less affordable. the european central bank is predicting prices in the euro zone will go up by 5 point one percent this year. it's revised it's forecast upwards. this comes with economic growth weakening, especially in europe. a forecast by economic analysts predicts a drop in economic output of 3.2 percent for the e u, compared to

a scenario without war. other regions are not, is badly affected, but even so overall global g d p is set to drop by 1 point one percent declining growth combined with rising prices. that's what economists call stagflation. some predict the worst global economic slump in decades, like the oil embargo, in 1973, which nearly paralyzed the world economy and lead countries to scramble to diversify their energy supplies. now for more and that's what's bringing clemens voiced from the eco institute and new next cremeans. we've seen, you know stagflation really come up as the eternal boogeyman with talked about all the time as, as one of the worst things that can happen to economy. why is that such a big fear? it's a big fear because there isn't much governments can do about tech lation in a normal economic crisis. demand declines, inflation is low,

so the government can cut taxes and stabilize demand. all the central banks can print more money and stabilize demand, but with taxation, it's very difficult. inflation is high, so the central banks can't do much. they rather need to tighten, but that makes the price is less. so it really means living standards are going down. are we seeing that right now in europe? i think so, yes, we are seeing as in europe, in the us, we have inflation, which is more of the boot type. so strong demand driving a prices in europe. we have inflation of the stack, lation area of the bad type. we don't have a strong demand. boom. we have stable the mom, but then energy prices, the prices are rising, and that's clearly affect place marie shock. so this morning we saw your data out on german, producer prices up a record 26 percent. inflation for consumers so far is, is running quite

a bit below that, about 5 percent is, is this inflation about to get much harder for consumers? it is, yes, energy price arriving full price arriving. so the consumers see their real incomes going down. and it's not that domestic companies can compensate for this by paying higher wages because domestic companies on producing oil and they are producing much food either. so consumers will definitely and employees will take a hit in their real incomes. so some of the price increases we've seen for things like natural gas or wheat as a result of the war. and ukraine are pretty staggering. really, i popping figures. do you see a risk of inflation becoming out of control? well, i wouldn't say it's becoming out of control. it's simply driven by

a price in key graces and there isn't much the center i can do about it. at the same time. we see, for instance, the oil price at the moment, at least stabilizing, so it's not for you where it's going, but it will really depend on the oil price. it would be out of control if wages were now massively increasing and we would get into a wage inflations or about that doesn't seem to be happening. so i wouldn't say it's completely out of control. come in 1st from the fo institute and you know, thank you so much. i q. now ukraine and russia have been called europe spread basket due to their role as major suppliers of grain. the war has cut off the supplies and sent prices for the staple surging. our next report takes us to nairobi, where bread costs have doubled. a price few can afford jabante. john, we'll chalk a, makes this week peter bread every morning in the nairobi. slum of con, gay, me,

it's a typical breakfast here, but the bakery was recently forced to double its prices. value i'm, it will go out. that's why our customers are disappearing. double play laziness is bad because the mandates were not earning enough money. when his boss runs the bakery with 4 employees, prices for flower and sunflower oil, we're already going up. but now he says it's much worse due to russia's war against ukraine. international prices for wheat flour have jumped dramatically enough. what did you learn? what did you were paying attention to the war? because we need to know what's going on. that would be that some of the products we use come from both countries and, and everyone, the whole world is concerned. now you hope and it's likely the poorest that would be hardest hit kenny's poor already have to spend half of their already low income

on food. here around a 3rd of imported wheat comes from russia or ukraine. and people are award that has global supply, shrink prices will continue to rise. and that will make putting food on the table much harder in many developing countries. you full price goes up then that kind of going to be string flesh on. and then of course, ultimately you expect that there's gonna be some effect on they generally ignore economic activities. ah, because people are trying to cut back or you don't have enough, but guessing bower complicating matters. here's a drought that is causing many to go hungry. millions already depend on assistance . if food starts to get scares, it becomes too expensive. it could lead to a catastrophe throughout the region. 276000000 people in the world who are in hunger crisis as we speak. and this is before the cut on crisis before

the war and you current yes. anything to help making sure that food commodities, essentially basic food commodities, reach millions of people around the world and it can't be too expensive. in nairobi . the price of wheaton oil has eaten into the bakery profit margin. if prices keep rising, it could soon put them out of business. thanks for watching. ah, when you sit in the mom, nobody in an air raid shelter. it doesn't matter what he went with. ok says john creek says ukrainian fashion, designing, although he was invited to the been and fashion week, he stuck in trying to survive. but he still managed to showcase his work on the cattle. thanks to a grand tale of european solidarity. you ro, max next on d w?

ah, we got some hot tips for your bucket list. ah, magic corner check hot spot for food, and some great cultural memorials to boot d w, travel off we go with. ah, ah, a perfect spot to observe whales and dolphins in their natural habitat. that's what reporter hendrick belling discovered on a visit to the azores. a group of islands in the atlantic. we'll find out more about his trip later in the show.