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	Rising food prices could mean 7 lost years for the Millennium Development Goals by Reuters   25 April 2008   “The capacity of the world’s 450 million smallholder farmers to respond by growing more food is at risk because of spiralling energy and fertiliser prices,” said Lennart Båge, President of the UN International Fund for Agricultural Development (IFAD).   “Poor farmers are not reaping the benefits of higher food prices because they cannot afford the fertiliser or seeds to plant next season’s crops.”   He called for concerted comprehensive and coordinated action to be taken by the international community to prevent the slide of millions into abject poverty.   “Poor rural farmers are central to any solution to today’s global food crisis and the long-term problems of hunger and poverty,” Mr. Båge noted.   He called for a three-pronged strategy: providing emergency food aid to feed the hungry today; supporting, in the short term, smallholder farmers in their bid to plan next season’s crops; and longer-term investment in agriculture to ensure food security, nutrition and rural development.   “The world has under-invested in agriculture and rural development for far too long,” the President stated. “It is high time to put this right.”   Yesterday, the head of the UN World Food Programme (WFP) said, that 100 million people face being pushed deeper into poverty.   20 Apr 2008   Food price rises may hit growth, security, by Daniel Flynn.   Higher food prices risk wiping out progress towards reducing poverty and, if allowed to escalate, could hurt global growth and security.   The head of the United Nations warned the U.N. Conference on Trade and Development (UNCTAD) meeting in Ghana that huge increases in prices of staple foods such as cereals since last year could erase progress made towards goals set to halve world poverty by 2015.   "The problem of global food prices could mean seven lost years ... for the Millennium Development Goals," he said. "We risk being set back to square one."   West African countries such as Ghana have been among the worst affected by rising food prices. Countries throughout the region, from Mauritania to Cameroon, have witnessed food riots.   Ghanaian President John Kufuor expressed hope that rich countries would end their agricultural subsidies which have worsened poverty in Africa.   * Below is a link to resources on the World Food Crisis from ReliefWeb. Visit the related web page
	Trade should serve people-centered development by ActionAid International   Apr 2008   Giant multinationals are undermining economic development in commodity-reliant developing countries by influencing the terms of trade in their favor, edging out small scale producers and shrinking their income and savings.   A joint report released by ActionAid and the South Centre in Accra, Ghana, at the UNCTAD XII meeting has revealed.   According to the report, the international commodities trade could be a vehicle for development and poverty reduction if earnings within the commodity chain are distributed fairly.   “The world must shift the focus of trade from being driven solely by profits to serve people-centered development” Yash Tandon Executive Director of South Centre says.   Citing trends in global coffee trade the report argues for protection of small scale farmers saying they require concerted international efforts including international commodity agreements and commodity boards at national levels to protect producers from vulnerability to market shocks and manipulation by giant multinationals.   “With market power concentrated in a few hands internationally, African farmers find it hard to build up enough cash to diversify their crops” Dede Amanor-Wilks ActionAid’s West & Central Africa Director says.“The market is just too narrow and we need to open it up more fairly to small-scale producers”   The report indicts developed countries for failing to eliminate trade, distorting subsidies and reducing opportunities for developing countries to access their markets, saying they are simply not committed to live what they promise.   Some of the key findings   Seed and agrochemicals: In 1994, the top twelve companies accounted for 80% share of the global pesticides market. By 2002, this number halved and the top six companies: BASF, Bayer, Dow, DuPont, Monsanto and Syngenta now control 80% of the market between them.   Only two companies, Du Pont and Monsanto, controlled 65% of the world"s maize seed market in 2002.   Bulk commodity trading   In 1998, the top six coffee trading companies held 50% of the world market. By 2002, the top three: Neumann, ED&F Man and Esteve held 45% of the market.   In 2002, just two companies – Cargill and Archer Daniels Midland – controlled three-quarters of the global grain trade. Two companies, Chiquita and Dole, controlled nearly 50% of world banana trade in 2002.   Food manufacturing and processing: Only two companies, Nestle and Philip Morris/Altria, controlled nearly 60% of the world market for roasted and instant coffee in 2002.   Apr 2008   Governments policies make them "an accomplice" to Hunger.   The shift in maize production to produce the bio fuels is driving the food crisis higher.   The US needs to divert all its corn production onto the world food market to alleviate spiralling food prices, instead of subsidizing the crop for biofuels, according to anti-poverty group ActionAid.   “The current global food crisis is an outrageous example of how governments are being at best, negligent and at worst, an accomplice in the trend of increasing hunger,” said Adriano Campolina, Head of Food Rights with ActionAid.   “The international community must urgently increase aid to sustainable agriculture and support net food importing countries. The world produces enough food for all of us”, he said.   In addition, to help stem the crisis, food aid needs to be increased and sourced locally or regionally, added the NGO.   Countries need to be assisted to build up staple food stocks, procuring them from poor farmers in country, where possible.   In Bangladesh, where Cyclone Sidr decimated crops last November, people took to the streets in protest as a result of food price rises.   “My income was literally cut in half as one kilo of rice now costs 35 Taka (25 pence) while last year I used to buy two kilos for the same amount,” said Ms Razia Begum, 26, a local vendor in Kurigram, nearly 400 kilometres north of Dhaka in Bangladesh.   Before starting her small shop, with the support of the village foundation, Razia was among hundreds of people whose daily income used to be Tk 15 (12 pence) a day. Now she earns between Tk 130-150 (almost a pound). But this amount is insufficient to feed her family of six. She earns more by selling groceries.   Though Razia has cattle, a loader cycle rickshaw, a house and a small shop in Lalmonir hut village, a few kilometres away from Kurigram, she feels the food price hikes are making her life difficult. Razia wonders how recent price hikes are hitting people who still earn less than 12 pence a day.   “If women in the household are given a piece of land and a small amount to earn from this land, lives of other villagers can be changed,” she said.   The Secretary General of UNCTAD, Mr. Supachai Panitchpakdi says that the shift in maize production to produce the bio fuels was driving the food crisis higher.   “The current surge in production of bio fuels using corn instead of using it a staple food was driving is also a major contributor to the food crisis.   He further added that governments around the world were spending less time and resources to boost the agricultural services in their own countries.   “We can also say that governments are not paying the necessary attention to issues such as agricultural extension services that have virtually collapsed in some countries”. Visit the related web page
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