Showing posts with label Hunger. Show all posts
Showing posts with label Hunger. Show all posts

Sunday, February 06, 2011

Eric Holt-Gimenez: Food Rebellions -- 7 Steps to Solving the Food Crisis

Food Rebellions: 7 Steps to Solving the Food Crisis: Resistance to the trade and “aid” policies that displace farmers and increase hunger.
by Eric Holt-Gimenez
Yes!

The World Food Program describes the current global food crisis as a silent tsunami, with billions of people going hungry. Hunger is, indeed, coming in waves, but not everyone will drown in famine. The recurrent food crises are making a handful of corporations very rich—even as they put the rest of the planet at risk.

Built over half a century, largely with public grain subsidies and foreign aid, the global food-industrial complex is made up of large corporations that sell grain, seed, chemicals, and fertilizer, along with global supermarket chains and food processors.

When these players first came on the scene, world agriculture was different. Forty years ago, the global South had yearly agricultural trade surpluses of $1 billion. After three “Development Decades,” they were importing $11 billion a year in food. Immediately following de-colonization in the 1960s, Africa exported $1.3 billion in food a year. Today it imports 25 percent of its food.

International trade agreements and pressure from the global North opened up entire continents to cheap, subsidized grain from the North. This put local farmers out of business, devastated local crop diversity, and consolidated control of the world’s food system in the hands of multinational corporations. Today three companies, Archer Daniels Midland (ADM), Cargill, and Bunge control 90 percent of the world’s grain trade.

The official prescriptions for solving the world food crisis call for more subsidies for industrialized nations, more food aid, and more so-called Green (or Gene) Revolutions. Expecting the institutions that built the current flawed food system to solve the food crisis is like asking an arsonist to put out a forest fire. When the world food crisis exploded in early 2008, ADM’s profits increased by 38 percent, Cargill’s by 128 percent, and Mosaic Fertilizer (a Cargill subsidiary) by a whopping 1,615 percent!

For decades, family farmers the world over have resisted this corporate control. They have worked to diversify crops, protect soil and native seeds, and conserve nature. They have established local gardens, businesses, and community-based food systems. These strategies are effective. They need to be given a chance to work.

To Read the Rest of the Report

Saturday, July 03, 2010

Johann Hari: How Goldman gambled on starvation

How Goldman gambled on starvation
by Johann Hari
The Independent (UK)

Speculators set up a casino where the chips were the stomachs of millions. What does it say about our system that we can so casually inflict so much pain?

By now, you probably think your opinion of Goldman Sachs and its swarm of Wall Street allies has rock-bottomed at raw loathing. You're wrong. There's more. It turns out that the most destructive of all their recent acts has barely been discussed at all. Here's the rest. This is the story of how some of the richest people in the world – Goldman, Deutsche Bank, the traders at Merrill Lynch, and more – have caused the starvation of some of the poorest people in the world.

It starts with an apparent mystery. At the end of 2006, food prices across the world started to rise, suddenly and stratospherically. Within a year, the price of wheat had shot up by 80 per cent, maize by 90 per cent, rice by 320 per cent. In a global jolt of hunger, 200 million people – mostly children – couldn't afford to get food any more, and sank into malnutrition or starvation. There were riots in more than 30 countries, and at least one government was violently overthrown. Then, in spring 2008, prices just as mysteriously fell back to their previous level. Jean Ziegler, the UN Special Rapporteur on the Right to Food, calls it "a silent mass murder", entirely due to "man-made actions."

Earlier this year I was in Ethiopia, one of the worst-hit countries, and people there remember the food crisis as if they had been struck by a tsunami. "My children stopped growing," a woman my age called Abiba Getaneh, told me. "I felt like battery acid had been poured into my stomach as I starved. I took my two daughters out of school and got into debt. If it had gone on much longer, I think my baby would have died."

Most of the explanations we were given at the time have turned out to be false. It didn't happen because supply fell: the International Grain Council says global production of wheat actually increased during that period, for example. It isn't because demand grew either: as Professor Jayati Ghosh of the Centre for Economic Studies in New Delhi has shown, demand actually fell by 3 per cent. Other factors – like the rise of biofuels, and the spike in the oil price – made a contribution, but they aren't enough on their own to explain such a violent shift.

To understand the biggest cause, you have to plough through some concepts that will make your head ache – but not half as much as they made the poor world's stomachs ache.

For over a century, farmers in wealthy countries have been able to engage in a process where they protect themselves against risk. Farmer Giles can agree in January to sell his crop to a trader in August at a fixed price. If he has a great summer, he'll lose some cash, but if there's a lousy summer or the global price collapses, he'll do well from the deal. When this process was tightly regulated and only companies with a direct interest in the field could get involved, it worked.

To Read the Entire Article