World Food Shortage Linked Directly to Fuel

In case you haven’t been watching the news, catastrophic food shortages have hit many countries, mostly in the developing world. There are many culprits, including severe drought in certain regions and population growth in China and India, but two of the most important factors directly relate to what you put in your gas tank.

The skyrocketing price of oil has hit the global economy hard. Think about it: How is food transported all around the world? Mostly in trucks and ships that require diesel fuel, which has hit records highs (in the U.S. over $4 per gallon). It has become vastly more expensive to transport food. The cost of rice, for example, has seen an explosive increase of 75% in just two months, with the result being food riots in countries like Haiti, Indonesia, Cameroon and the Philippines.

The second factor, and the one the Western world bears the most responsibility for, is biofuel—specifically corn ethanol. According to a World Development Report authored by the World Bank, it takes 528 pounds of corn to fill the tank of one SUV. This same amount could feed one person for a year. Additionally, as more and more corn and farmland is diverted to fuel production, it drives up the price of other foods. According to a report on National Public Radio, Europe is reconsidering its heavy investment in biofuels in light of the food shortage. Perhaps it’s time for the U.S. to take a look at its policy as well.

World’s New Crisis: Soaring Food Prices (Business Day)