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gipa69 ha scritto:US responsible for rise in world food prices: Environment group
Posted online: Thursday, March 22, 2007 at 0118 hours IST
WASHINGTON, MAR 21 : The diversion of US grain to produce ethanol to fuel cars has led to an increase in world food prices and the developing countries like India have already started paying for the rise in wheat prices.
“Corn prices have doubled over the last year; wheat futures are trading at their highest level in 10 years and prices of rice are rising,” The Earth Policy Institute (EPI) has said in an advisory. In India wheat prices are up 11% and all of this is just the beginning, the EPI said in a statement. “Higher grain prices mean higher food prices. In Mexico, the price of tortillas has risen by 60%, driving thousands of angry Mexicans into the streets,” it said.
“Food prices are rising worldwide. The US Department of Agriculture projects the wholesale price of chicken in 2007 will be 10% higher than in 2006, prices of eggs will be up a whopping 21%, and milk will be 14% higher. In China, pork prices are up 20% above a year earlier and eggs are up 16%” the EPI said, adding that unlike in the past the food price rise is not going to be a temporary phenomenon.
“In the past, food price rises have usually been weather-related and always temporary. This situation is different. As more and more fuel ethanol distilleries are built, world grain prices are moving up toward their oil-equivalent value in what appears to be the beginning of a long- term rise,” the institute said. “By 2008, close to one third of the US grain harvest will be going to ethanol, reducing the amount available both for internal use and for export,” the institute said.
—PTI
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