on April 3, 2009 by admin in Uncategorized, Comments Off

World Food Prices Bound to Go Further North

Food prices will continue to rise mainly due to climate change and alternate use of food crops. In the last 5 years alone the prices of fresh vegetables and fruits have gone up by 3 times. As a matter of fact, the consumption has not increased dramatically but the production has come down drastically. The principal cause for this drop in production is crop failure and use of food crop as bio-fuel.

Ethanol demand in Mexico has increased the price of corn. US too is feeling the heat on corn price because 20% of total production is used for bio-fuel generation, it will be further augmented by 25%. In addition, a new study shows evidence of increasing levels of ozone at ground levels will impede the ability for plants and trees to absorb carbon dioxide. These findings by the scientists of UK’s center for Ecology & Hydrology and University of Exeter further re-establishes that the world is in for a severe shortage of food products.

The present crisis in food supply is the handiwork of the humans, because since 1850 lopsided focus on industrial growth and transportation has overlooked the impact it would cause on the nature. The use of food crops for bio-fuel generation as an inward solution to offset oil prices has also decreased the food output available. Bio-fuel is needed but it can be generated from non-food crops like Jatropa and this can take the price pressure out of the food markets to a certain extent.

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