The Miracle of the Sudden Rise and Fall of Food Prices — Global Issues

The soaring global food prices have steadily fallen earlier than the July 22 deal brokered by Turkey between Russia and Ukraine to allow grain exports from both countries.
What the Russo-Ukrainian conflict reveals once again is how fragile the globalized food system is. Credit: Busani Bafana / IPS
  • by Baher Kamal (Madrid)
  • Associated Press Service

Data released by the Food and Agriculture Organization of the United Nations (FAO) on August 5, adding FAO Food Price Index averaged 140.9 points in July, down 8.6% from June, “marking the fourth straight month of decline since hitting an all-time high earlier in the year.”

This means that the soaring global food prices have steadily fallen earlier than the July 22 agreement brokered by Turkey between Russia and Ukraine to allow grain exports from both countries.

However, the influence of business on politicians and the media, as well as world organizations, including the United Nations, has continued to blame the war in Ukraine on record wages. unprecedented high, and also exacerbated the starvation of billions of people. people all over the world.

Why have food prices dropped suddenly for 4 months in a row? The Ukraine war started about five months ago. Therefore?

“Miracle” explained

Perhaps one of the most accurate studies explaining the real reason behind the starvation of a billion people, can be found in the ‘must-read’ document developed by the international movement created 30 years ago in India by one of the best scientists and activists in the world. , GS. Vandana Shiva.

The main title of the study: Sow hunger, reap profits – A food crisis by design enough to understand the root cause of what the United Nations World Food Program (WFP)’S Red Alert: A Global Food Crisis Like None.

Since Russia invaded Ukraine, headlines have been dominated by warnings about the risk of global food shortages and soaring global food prices, all due to conflict, Navdanya International report.

“However, according to many international groups, there is currently no risk of a shortage in the global food supply.” So why are so many countries facing an increasing risk of food insecurity, and in the worst case, famine?

The important thing is overlooked by most The diagnosis of the current food crisis is how the problem is not with a lack of supply, or a lack of market integration, but rather “how the food system is structured around power.”

The Navdanya International explain the fact that the world was facing a food crisis and malnutrition long before the current conflict.

The strength of the company

“From the colonial period, where the exploitation and exploitation of small farmers began, to the advent of the Green Revolution, and the concretization of the globalized free trade regime, we have witnessed ​the intentional destruction of small farmers and beneficial food sovereignty. of corporate strength. “

It is therefore no coincidence that today we are witnessing the third largest food crisis in the last 15 years, the study commented.

Hungry by design?

What the Russo-Ukrainian conflict reveals once again is how fragile the globalized food system is. Today’s globalized industrial agro-industrial system is a hunger-generating food system by design, Professor Vandana Shiva’s world movement continues.

“At worst, international organizations, governments and corporate organizations are using the current crisis, as they have used every crisis: to further reinforce this model of failure. Wrong solution and redundant calls for failed approaches abound in international headlines and reactions. “

Now more than ever food system transformation towards Food Sovereignty, based on agronomy and increasingly biodiversityhelps act as a lasting solution to hunger, urges Vandana Shivamovement of.

Under the influence of the market lords

Despite the obvious credibility of all of the above, and some precise analysis by many experts, politicians, mainstream media and international agencies, it continues to attribute all Decade-long crises in the world are caused by the current proxy war.

For example, the United Nations Development Program (UNDP) was released on July 7, 2022, a report titled directly referring to the war in Ukraine: The global cost of living crisis caused by the war in Ukraine has plunged tens of millions of people into poverty.

Fortunately, the report also lists some of the real main causes of the growing world hunger, of which nearly a billion people have been victims to date.

Is it really all about war?

The report, published just 13 days after Russian troops entered Ukrainian territory, said: “The soaring inflation rate has seen an increase of 71 million poor people in the developing world in the three months since March 2022.

Question: Would 13 days of Ukraine’s proxy war be enough to dramatically increase the number of hungry people in the world?

The UNDP also explains that when interest rates rise in response to soaring inflation, there is a risk of further recession-induced poverty, which will exacerbate the crisis, increase and deepening poverty around the world.

Question: Been blocked for years – and now release– Are Ukraine’s grain exports really behind the hunger of billions of the world’s poor?

Bigger picture

Ukraine is not the only grain producer in the world. Nor is it the largest grain exporter on the planet. In fact, Ukraine represents 10% of the global supply, as IPS reported in its recent article: The world has broken. Grain Ukraine will fix it up?

The same applies to Russia, which will also resume grain exports under the July 22 agreement between Moscow and Kieve. With about 118 million tons per year, Russia ranks 4th in the list of the world’s top producers.

The largest country, China, with more than 620 million tons, generates more than four times Russia’s total production. The United States, with 476 million tons, is the world’s second-largest producer of grains, nearly three times as much as Russia’s.

Then you have the European Union, with 275 million tons. France alone produces about 63 million tons. And Canada produces more than 58 million tons. Other major cereal producers are India, Brazil, Argentina and Australia.

Starve to death at breathtaking speed

“Unprecedented price increases mean that for many people around the world, the food they could buy yesterday is no longer possible today.” speak UNDP Administrator, Achim Steiner.

“This cost-of-living crisis is pushing millions of people into poverty and even starvation at breakneck speed, and with it the threat of social unrest is increasing day by day.”

Same story… again?

In August 2022 The Global Impact of War in Ukraine: The Energy Crisis In a summary report, the United Nations said that many people are now forecast to be pushed into food insecurity and extreme poverty by the end of 2022.

“The most recent operational program update from the WFP estimates that by 2022, 345 million people will be severely food insecure or at high risk of food insecurity in 82 countries with food insecurity. active presence of WFP, which means an increase of 47 million people suffering from extreme hunger… due to the ripple effects of the war in Ukraine in all its aspects”.

Question: Not the Food and Agriculture Organization of the United Nations (FAO) report on January 6, 2022 that “For the whole year of 2021, on average for the whole year, the FAO Food Price Index averaged 125.7 points, 28.1% higher than the previous year”?

Not FAO Senior Economist Abdolreza Abbassian speak “While normally high prices are expected to give way to increased production, high input costs, the ongoing global pandemic and increasingly volatile climate conditions leave room for optimism about the possibility of a return to more stable market conditions even in 2022” is minimal?

Wasn’t that 49 days before the Ukraine war started?

© Inter Press Service (2022) – All rights reservedOrigin: Inter Press Service

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