GTFS: Global Trends and Future Scenarios Index

Globalization and the cost of food: current situation, forecast and possible solutions


This article analyses the causes and consequences of the inflation experienced by the food sector worldwide until june 2008. Some of the most highlighted causes that affect directly the cost of food are: the exaggerated increase of the oil price, the use of gramineae and oleaginous to produce bioethanol and biodiesel, the speculation of future markets of food commodities in places such as the Chicago Board of Trade (CBTO), and the impact caused by the increase of consumption in the BRIC’s (Brazil, Russia, India and China) economies. International experts’ opinions are taken into account, in special the ones of multinational organizations that develop continuous efforts to stop the crisis: the IPCC, FAO, UN, IMF, WBG, OECD, Bill Clinton, Al Gore, George Soros, amongst others. In addition, a short view of Venezuela’s current situation regarding the food subject has been included with the analysis of the Venezuelan expert Hiram Gaviria. Later on, other current energy options in the world to avoid the use of food to produce biofuels are evaluated, such as nuclear and wind energy.