Global Food crisis ©
Posted by Ikpe Uno on Friday, February 18, 2011 Under: Global Food crisis
The global food crisis is both a matter of productions and resources as well as it is a matter of logistics. The only thing that has changed about food production in the last decade an a half is the increase in the global Population but there is also the issue of greater global integration and this is the rather touchy subject for many, which is why I have written this as an equity on the matter.
The fact is for example that if there is increased global integration, the impact it will have on the Price of land will be equal to this increase more so with respect to market conditions and if there is increased global integration, there is always increased pressure on specific kinds of food because tastes and cultures are not so far apart as they used to be.This means that we have as much inflationary pressures of food production bearing down on food production as there is actually inflation on food production, so it is true that there is a crisis; however if the world can act now together with Nations which have the capacity for food production, it is the inflationary pressures that will be managed over time and not via an acute crisis and the result will likely be a more sustainable standard of living for developing economies.
I must mention that it is not the first time that power on food production has moved to developing economies but now we are clear about what the issues are such as the fact that it is not necessarily true that when a country is developed it does not have agricultural power or that some countries are so poor that they deserve to have things done in order to ensure market situations and conditions favour them, especially when they are powerful in food production.
The one subject however that is most touchy above all is acknowledging that equities which exist and businesses which thrive on equities of social markets are not agricultural in nature at all; they are largely consumer product companies who operate with large production lines and this is what blurs the line between treats and food; we actually have a food crisis not a treats crisis.
The fact is for example that if there is increased global integration, the impact it will have on the Price of land will be equal to this increase more so with respect to market conditions and if there is increased global integration, there is always increased pressure on specific kinds of food because tastes and cultures are not so far apart as they used to be.This means that we have as much inflationary pressures of food production bearing down on food production as there is actually inflation on food production, so it is true that there is a crisis; however if the world can act now together with Nations which have the capacity for food production, it is the inflationary pressures that will be managed over time and not via an acute crisis and the result will likely be a more sustainable standard of living for developing economies.
I must mention that it is not the first time that power on food production has moved to developing economies but now we are clear about what the issues are such as the fact that it is not necessarily true that when a country is developed it does not have agricultural power or that some countries are so poor that they deserve to have things done in order to ensure market situations and conditions favour them, especially when they are powerful in food production.
The one subject however that is most touchy above all is acknowledging that equities which exist and businesses which thrive on equities of social markets are not agricultural in nature at all; they are largely consumer product companies who operate with large production lines and this is what blurs the line between treats and food; we actually have a food crisis not a treats crisis.
In : Global Food crisis
