Thursday, June 2, 2011

Watch the food, ctd

As global food prices rise and exporters reduce shipments of commodities, countries that rely on imported grain are panicking. Affluent countries like Saudi Arabia, South Korea, China and India have descended on fertile plains across the African continent, acquiring huge tracts of land to produce wheat, rice and corn for consumption back home.

Some of these land acquisitions are enormous. South Korea, which imports 70 percent of its grain, has acquired 1.7 million acres in Sudan to grow wheat — an area twice the size of Rhode Island. In Ethiopia, a Saudi firm has leased 25,000 acres to grow rice, with the option of expanding. India has leased several hundred thousand acres there to grow corn, rice and other crops. And in countries like Congo and Zambia, China is acquiring land for biofuel production.


Full story here. These purchases will help the buyers in relatively good times, but if famine comes (and the decision to buy agricultural land so far afield suggests that they think famine is coming) will any independent state send food overseas while its own citizens starve?

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