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The unrelenting rise in food prices has become a matter of grave concern for many countries. A recent report in British newspaper The Guardian revealed a secret World Bank report which says that from 2002 to February this year, food prices have risen by 140 percent, 75 percent of which was "contributed" by biofuels, thanks to vigorous promotion by the United States and European Union (EU). In contrast, increase in energy and fertilizer prices pushed up food prices by only 15 percent. However, as different sides argue about the causes of the global food price hike, the World Bank report offers evidence on the true causes behind the international price surge. The severe impact of high food prices is being felt around the world, with some developing countries facing food shortages, hunger among the poor, increased poverty and social unrest. Uncovering the truth behind the food crisis is a step toward finding feasible solutions at an early date. The World Bank report studied the food price movement in recent years, analyzing the connection between the food price surge and biofuels on a monthly basis. It came to the conclusion that the EU and United States' drive for biofuels has had by far the biggest impact on food supply and prices. On the other hand, the rapid income growth in developing countries had not led to large increases in global grain consumption and was not a major factor responsible for the large price increase, the report said. It is only logical that the results of a study by an institution such as the World Bank should be recognized by all parties concerned and fully employed to seek ways to resolve the food price crisis. However, government officials, media and experts from some countries are bent on denying the huge impact of biofuels on world food price, rather preferring to insist on exaggerating the effects of increased food consumption by some so-called newly emerged markets. The explanation for such a reaction lies hidden in those nations' own interests. The violent surge in oil prices on international markets has heavily burdened major import countries like the United States and the EU nations. They need to use their rich agricultural resources to switch to biofuels, so as to ease the cost burden of and reliance on imported oil. It also allows them to play the green energy card. Therefore, they choose to refrain from mentioning the dire consequences of large-scale biofuel production. It could eat up global wheat and maize stocks, diminish food supply, push up food prices, and plunge millions into starvation. The rising food prices have already pushed some 100 million people across the world below the poverty line, the report estimated. To reveal the truth behind the world food crisis is not aimed at seeking a scapegoat, but rather at uncovering the real picture and finding the real problems, so that corresponding solutions can be found. For example, biofuel itself is green energy and, as the World Bank report pointed out, some crops such as sugarcane can be used to manufacture biofuels, as Brazil does, without creating the risk of higher food prices. But the United States uses almost one-third of its maize production and the EU about half of its vegetable oil production to make biofuels, while millions, most of them in developing countries, face starvation. The choice between filling up stomachs or filling up tanks could not be more obvious. The global food crisis needs a comprehensive and rational evaluation, so that its real causes are discovered, and practical solutions arrived at. The article in the Guardian pointed out that the World Bank report was finished in April but was not published earlier to avoid embarrassing the U.S. government. On issues such as this, which are affecting the entire world, revealing the truth and informing the public must get top priority, so that people, governments and organizations can jointly look for feasible solutions to end the crisis. |
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