Thread: Era of cheap food is over: World Bank

Era of cheap food is over: World Bank
15 May, 2008, 1649 hrs IST, PTI

MUMBAI: Falling productivity and high oil prices are likely to keep global food prices at elevated levels for another decade, a top World Bank official said here on Thursday.

"Oil prices are not going to come down. The era of cheap food is over and prices are likely to remain high for at least the next ten years," World Bank South Asia Region Vice-President Praful Patel told reporters.

He said the current situation has "caught the whole world by surprise" and the crisis was due to a combination of factors, he said.

The effective measure in the South Asian region will be a pro-poor and pro-agriculture approach with "coordinated and cohesive" policies and implementation, he said.

A global financial mechanism to fund programmes for enhancing agriculture productivity was required and the World Bank is setting up a special trust fund of USD 800 million to support such initiatives.

"The World Bank will contribute $50 million from its net income, while the remaining will be raised through donors like various UN agencies," Patel said.

The global bank has already increased its South Asian commitment for agriculture to $1 billion from $300 million last year.

A substantial part of these funds will be diverted towards R&D to improve the farm productivity and develope high quality seeds.

"This is in addition to what the World Bank will be spending on building roads in rural areas," he said.

http://economictimes.indiatimes.com/Eco ... 043425.cms

What happened to the argument that illegal aliens working on our farms keep our food cheap? Well, food ain't cheap and the IA's are STILL here! Another reason for deporting IA's!

I agree, and IA's are not cheap when it comes to the burden of taxpayers!! Relieve the burden and maybe we can afford the food!!