Solving the soaring food prices is still promising There have been a few days ago representatives of the senior officials of the UN Food and Agriculture Organization and representatives of the government, academia, and the business community in China, France, Canada, and some African countries held a seminar at the Beijing Foreign Affairs University with the theme of world food security. Participants felt that the issue of food security in the world is increasingly worrying and that it is urgent to seek effective solutions.
In recent years, the world grain prices have kept rising, leading to higher inflation in food importing countries. This problem has caused even more serious consequences in some countries with high food import dependence, and even social stability is facing huge threats. The deteriorating world food security situation is evolving into a crisis.
The current soaring world food prices began in the second half of 2006. Compared with 2006, the world food price rose by 83% in 2009 as a whole. By 2010, the prices of wheat, soybeans, corn and rice in the world grain market have risen by 137.5%, 79.2%, 34.6% and 66.6%, respectively, compared with 2009. Moreover, the trend of rising world food prices is difficult to reverse in the short term.
The world’s soaring food prices have a variety of reasons. First, world population growth and food production increase are not coordinated. In 1927, the world population was 2.7 billion. This year it is 7 billion. It is estimated that the world population will reach 9 billion by 2050. By that time, we must meet the needs. Global food production should increase by 70% compared with today. Second, the dietary structure of the population in developing countries has changed, and more and more meat has been eaten, making the world's feed demand more and more. Third, the world’s climate is warming, and natural disasters have reduced the efforts of countries to increase grain production. Fourth, the world’s oil price increases, on the one hand, increases the cost of agricultural production. On the other hand, some rations have been converted into raw materials for bio-energy production. All of the above factors have exacerbated the imbalance in the supply and demand of the world grain market, naturally causing food prices to soar.
In fact, behind today’s world food security crisis, there are two other reasons that cannot be overlooked: one is market speculation, and the other is the negative correlation between grain prices and the US dollar. In general, the world's food supply will fluctuate by 3% to 5%, and speculation on the international market will increase food price fluctuations to 10%-15%. In addition, grain, oil, and many other raw materials are priced in U.S. dollars on the international market. This kind of pricing mechanism has caused many commodities, including food and oil, to be negatively correlated with the US dollar. The US dollar is firm and their prices in the international market have fallen. Otherwise, they have been pushed up. In order to overcome the financial crisis, the United States once again implemented a quantitatively loose monetary policy, which is no different from the rising international grain prices. The United States has an unshirkable responsibility for the food security crisis experienced by the world today.
Obviously, the problem of cracking the world food security crisis can only rely on international coordination and cooperation. Adviser to the Independent Chairperson of the FAO Council, Jean-Jacques Sola, said at the meeting that besides countries should increase agricultural investment and increase grain output, we must also create a healthy international trade order for agricultural products and create a coordinated food price linkage. International mechanism. The UN Food and Agriculture Organization took action this year to solve this problem. French Foreign Ministry official Morris Bowdesh said that food is not an ordinary commodity and the WTO should have exceptions for food. France will use this year's rotating chairmanship of the Group of 20 countries to take the opportunity to establish a rational agricultural trading mechanism on the agenda of the G-20. The author believes that whether the multilateral institution's plans can make progress depends on the attitudes and efforts of various countries. In the context of globalization, each country is obligated to assume its own responsibilities. In the final analysis, it is beneficial to Others.
In addition, there is much to be done in Africa by increasing world food production. The area of ​​Africa is three times that of China and there are many arable lands. Last year, China produced 540 million tons of grain and Africa had only 140 million tons. Experts believe that as long as the food produced in Africa reaches half of China, meeting the food needs of the global population will not be a problem at all. Of course, this requires African countries to create an attractive investment environment for agriculture, introduce external forces and jointly develop.
In recent years, the world grain prices have kept rising, leading to higher inflation in food importing countries. This problem has caused even more serious consequences in some countries with high food import dependence, and even social stability is facing huge threats. The deteriorating world food security situation is evolving into a crisis.
The current soaring world food prices began in the second half of 2006. Compared with 2006, the world food price rose by 83% in 2009 as a whole. By 2010, the prices of wheat, soybeans, corn and rice in the world grain market have risen by 137.5%, 79.2%, 34.6% and 66.6%, respectively, compared with 2009. Moreover, the trend of rising world food prices is difficult to reverse in the short term.
The world’s soaring food prices have a variety of reasons. First, world population growth and food production increase are not coordinated. In 1927, the world population was 2.7 billion. This year it is 7 billion. It is estimated that the world population will reach 9 billion by 2050. By that time, we must meet the needs. Global food production should increase by 70% compared with today. Second, the dietary structure of the population in developing countries has changed, and more and more meat has been eaten, making the world's feed demand more and more. Third, the world’s climate is warming, and natural disasters have reduced the efforts of countries to increase grain production. Fourth, the world’s oil price increases, on the one hand, increases the cost of agricultural production. On the other hand, some rations have been converted into raw materials for bio-energy production. All of the above factors have exacerbated the imbalance in the supply and demand of the world grain market, naturally causing food prices to soar.
In fact, behind today’s world food security crisis, there are two other reasons that cannot be overlooked: one is market speculation, and the other is the negative correlation between grain prices and the US dollar. In general, the world's food supply will fluctuate by 3% to 5%, and speculation on the international market will increase food price fluctuations to 10%-15%. In addition, grain, oil, and many other raw materials are priced in U.S. dollars on the international market. This kind of pricing mechanism has caused many commodities, including food and oil, to be negatively correlated with the US dollar. The US dollar is firm and their prices in the international market have fallen. Otherwise, they have been pushed up. In order to overcome the financial crisis, the United States once again implemented a quantitatively loose monetary policy, which is no different from the rising international grain prices. The United States has an unshirkable responsibility for the food security crisis experienced by the world today.
Obviously, the problem of cracking the world food security crisis can only rely on international coordination and cooperation. Adviser to the Independent Chairperson of the FAO Council, Jean-Jacques Sola, said at the meeting that besides countries should increase agricultural investment and increase grain output, we must also create a healthy international trade order for agricultural products and create a coordinated food price linkage. International mechanism. The UN Food and Agriculture Organization took action this year to solve this problem. French Foreign Ministry official Morris Bowdesh said that food is not an ordinary commodity and the WTO should have exceptions for food. France will use this year's rotating chairmanship of the Group of 20 countries to take the opportunity to establish a rational agricultural trading mechanism on the agenda of the G-20. The author believes that whether the multilateral institution's plans can make progress depends on the attitudes and efforts of various countries. In the context of globalization, each country is obligated to assume its own responsibilities. In the final analysis, it is beneficial to Others.
In addition, there is much to be done in Africa by increasing world food production. The area of ​​Africa is three times that of China and there are many arable lands. Last year, China produced 540 million tons of grain and Africa had only 140 million tons. Experts believe that as long as the food produced in Africa reaches half of China, meeting the food needs of the global population will not be a problem at all. Of course, this requires African countries to create an attractive investment environment for agriculture, introduce external forces and jointly develop.
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