Sunday, February 6, 2011

Alarm FAO, food prices increased for the seventh consecutive month

On February 3, was published in the FAO Food Price Index, the UN Food and Agriculture Organization, which measures the monthly change in international prices of a basket of five groups of foods intended for use as global economy - sugar, cereals, dairy products, meat and fat and oil - and prices are based on 55 international markets.

The index of products, with the exception of meat has gone up again for the seventh consecutive month and in January 2011 increased by 3.4%, the highest percentage increase since the FAO has started to monitor prices, in 1990. The FAO said that this increase is not a "food crisis", but the leap in power fear a repetition of the situation that occurred in 2007-2008 when the price of agricultural products has risen so much to bring countries such as Haiti and the internal clashes in Bangladesh.

The same clashes occurred in September in Mozambique for the sudden increase in prices of necessities such as bread and oil, forcing the government to lower them again. According Abdolreza Abbassian, a Senior Economist of the FAO, the situation is "alarming": "It would be foolish to think that this is the maximum, the new index clearly shows that the upward pressure did not diminish." In the coming months, in short, the cost of food is likely to increase again.

"The high cost of food is the major concern of low-income countries, which may have a problem to import basic products, and for the poorest families, who spend much of their income on food," said Abbassian. The prices have increased particularly in the case of dairy products, 6.2% from December 2010, while oils and fats rose by 5.6% from the previous month.

The price of wheat has increased by 3.3% last Wednesday, when operators were based on speculation on the stock market storms that have hit the United States of America and could damage the quantity and quality of crops in the Great Plains. They have also taken account of floods and droughts in Australia and Canada last year in Russia and Ukraine.

When it comes to agricultural products, the markets are on alert to weather conditions. The new FAO data have been published less than a month after Barbara Stocking, chief executive of Oxfam, a powerful group of humanitarian organizations from three continents committed to fighting hunger in the world, called for putting the food shortage in the first place ' agenda of the annual World Economic Forum in Davos-Klosters, Switzerland.

"For the crisis in food prices in 2007 and 2008 about 150 million more people suffered from hunger, bringing the number of hungry people in the world at over a billion," said Stocking, "and of course the poor countries developing countries are most affected. " He added that "the recent increase is likely to ring alarm bells in capitals around the world." The Stocking has therefore called for a rapid increase in investment to support agricultural production on a low scale in order to help those who are poorer to address the immediate effects of high prices and unstable.

What will happen to the poorer classes of fast-growing Asian countries with rising food prices? In India for example there are thousands of suicides by farmers every year because of debts due to the ever promised and not always land reform policy. The epoch-making reforms implemented since the beginning of 1990 have not touched the main source of employment in the country, agriculture, which employs about 60% of the workforce.

Rather, they have worsened the conditions of the peasants. And the famous economic growth has not touched them. Has moved forward significantly in some sectors of the population, the minority. The areas, so to speak, of services, especially in software field, which are easy bargaining chip in the international market.

Asked by CNN in Davos, economist Nouriel Roubini said that the rapid increase in food prices poses a serious threat to global stability and security. "The events that happened in Tunisia and that are happening today in clashes in Egypt and Morocco, Algeria, Pakistan, are related not only to the percentage of unemployment, income and economic inequality, but also the rapid increase in prices of food and most basic products.

" And the guerrillas of the Naxalites, the dreaded group of poor Indian farmers, bolstered by an army of 10 to 15,000 men, fighting against the special areas in which the state gives tax advantages to encourage the construction of new industrial plants, is proof . Enrica Garzilli

No comments:

Post a Comment