The Rise in Food Prices, the Pressure on Inflation in all Countries

After a relatively stable nominal food prices on the world markets during the years 1974-2005 and a gradual decline in their real price by an astounding 75%, a combination of several factors since 2005 brought a sharp increase in food and feed prices at accelerating rates that reached crisis proportion in mid-2007.

According to different articles and reports, several factors have contributed to the rise in the price of grains and other food products. The buoyant global economic growth and the exceptionally rapid growth and the rise in the standard of living certain countries are among others.

The demand-driven boom concentrated in particular in the emerging economies, most notably in China, India, Brazil and the Middle East, and their unprecedented growth and vigorous industrialization increased also their demand for oil and raw materials as an effect of the rise in the number and use of vehicles, their more capital intensive production methods, their urbanization and higher incomes that increased also their use of electricity and their consumption of high-valued products.

The most fiercely controversial factor that contributed to the rise in food prices is the demand for bio-fuel. In the US bio-fuel is produced primarily from corn and it set a target of producing 7.5 billion gals of renewable fuel use in gasoline by 2012. In the EU total biofuels production in is smaller and 80% is bio-diesel produced from rapeseed, soy and increasingly also from palm oil imported from East Asia. Production of bio-fuel is driven by generous incentives given to farmers that grow corn for ethanol in the and soy and rapeseeds for bio-diesel in the EU. Both the US and the EU set high targets for the production of bio-fuels in the next decade, but the worsening food shortages and the heated controversy about their environmental impact force policy makers to take another look at these goals.

As a result of all these developments, the dollar prices of staple foods rose, in 2006 and 2007, by over 40 percent. The main rise was in grain prices and some of them, particularly the prices of wheat and rice nearly tripled in the last year alone and the prices of corn and soybeans nearly doubled. The rise in food prices and in the price of oil put an upward pressure on inflation in nearly all countries.

Free four-day Online e-learning Course: NETWORKING IN SUPPORT OF DEVELOPMENT for members in Asia

The Food and Agriculture Organization and the Technical Centre for Agricultural and Rural Cooperation invite applications from the e-agriculture.org Community in Asia to participate in a free four-day Online e-learning Course: NETWORKING IN SUPPORT OF DEVELOPMENT A Course for Applicants in Asia will be held in late 2008. Only open to . . .

Added by  Charlotte Masiello  May 7, 2008
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US Commodity Futures Trading Commission: Agricultural Forum, April 22, 2008

The CFTC hosted an agricultural forum on April 22, 2008 to gather information about whether the futures markets are properly performing their risk management and price discovery roles.

Added by  Njoman George Bestari  May 7, 2008
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Asian Development Bank, Soaring Food Prices: Response to the Crisis

This paper explains why food prices are rising and how the Asian Development Bank is responding to this crisis. Soaring food grain prices in recent months have caused serious concern around the world. In Asia the estimated 1.2 billion poor people who spend on average 60% of their income on food have been hit hard. Food price inflation severely s. . .

Added by  Njoman George Bestari  May 7, 2008
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Food Prices and Inflation in Developing Asia: Is Poverty Reduction Coming to an End?

This Special Report was prepared by a team from the Asian Development Bank's Economics and Research Department. Food prices have increased sharply since mid-2007 and accelerated alarmingly in early 2008. Rice and wheat prices have spiked at levels not seen in over three decades. This threatens to exacerbate poverty in developing Asia by reducing th. . .

Added by  Njoman George Bestari  May 7, 2008
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Case Studies on Agriculture Technology Innovation in Africa

This is a set of case studies of successful technology projects having achieved scale within several countries in Africa. The case studies were developed for a conference titled "Developing Technology and Innovation in Africa: Focus on Agriculture and Food Industry" held in Dar-es-Salaam, Tanzania, May 12-14, 2008.

Added by  John Daly  May 7, 2008
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Right to Food

The Right to Food website is an interactive website on the right to food, providing practical information for policy-makers, legal practitioners, civil society members, UN staff, academics and the general public. Through the web site, users can increase their awareness of the human right to food, access resources for capacity-building at nation. . .

Added by  Lidija Knuth  May 1, 2008
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  Respect for women’s rights built into a Model for self-financing, ecological, sustainable, local integrated development projects.

The article describes in detail how respect for women's rights is built into the Model for self-financing, ecological, sustainable, local integrated development projects for the world’s poor promoted by the Dutch NGO Stichting Bakens Verzet (“Another Way”). The Model is in the public domain and available for use free of charge. It can be downloade. . .

Added by  Terrence Manning  May 1, 2008
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  Respect for ecology built into a Model for self-financing, ecological, sustainable, local integrated development projects

The article shows how ecology is built into the Model for self-financing, ecological, sustainable, local integrated development projects for the world’s poor promoted by the Dutch NGO Stichting Bakens Verzet ("Another Way"). The Model is in the public domain and available for use free of charge. It can be downloaded from website www.flowman.nl. T. . .

Added by  Terrence Manning  May 1, 2008
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  Agricultural production capacity and food security built into a Model for ecological, sustainable, local integrated development projects.

This article shows how projects under the Model for self-financing, ecological, sustainable, local development projects promoted by the Dutch NGO Stichting Bakens Verzet ("Another Way") support agricultural production and increase food security in project areas. The Model is in the public domain and available for use free of charge. It can be downl. . .

Added by  Terrence Manning  May 1, 2008
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Rainwater Tank Rebate Program

The use of rainwater tanks has been a popular topic of discussion in the community because of the dry conditions in the past few years. Rainwater tanks help conserve water, our precious natural resource and also help manage stormwater run-off. The decision of whether to buy a rainwater tank, especially for use around the home, requires some rese. . .

Added by  Emmanuel Habumuremyi  April 30, 2008
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