Quote:
Originally Posted by Rog
Biofuels have forced global food prices up by 75% — far more than previously estimated — according to a confidential World Bank report obtained by the Guardian. The damning unpublished assessment is based on the most detailed analysis of the crisis so far, carried out by an internationally-respected economist at global financial body.
Secret report: biofuel caused food crisis | Environment | The Guardian |
Let me guess, when the actual report comes out the reality might be a bit different. If not, the authors seem to have totally forgotten the increased demand for grains by China and India. Together they represent more than one third of the World's population. A 20% increase in demand in these countries would be more than enough to eat into stock piles. Biofuels are becoming less important in the continuing rise in world food prices, because the price of food has outstripped the price payable for biofuels in the US. Hard times are ahead for ethanol in the US. At $10 a bushel, ethanol production is not cost effective even with the subsidies.