Reports on food continue to be in the news. There will be a summit next week in Rome for world leaders to discuss global food security. One of the objectives is to discuss the development of a global food fund and to develop policy with regard to biofuel production. The Guardian reports that there is concern that biofuel produced in the US is being sold at low prices in the EU affecting regional producers. The article reports that the biofuel could be subsidised by up to 11 pence per litre. It will be an interesting trade debate to follow in coming weeks.
Many countries are seeking to control food supply by implementing export controls including Argentina. Cambodia has lifted its two month export ban on rice. Rice futures trading on the Chicago Board of Trade tumbled 50 cents to below $20 per 100 pounds. This followed a fall of 50 cents the previous Friday. Marketwatch report that rice futures have almost doubled this year, with a record high of $24.46 per 100 pounds in April. However, despite this fall in the futures market the Guardian has an indepth report on the impact of rising food prices in the Philippines. Certainly a sobering account.