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Jb

Nestle blames biofuels for high food prices

Not news to most people here but interesting nonetheless

Nestle blames biofuels for high food prices
Hairyloon

Meh. They make rubbish chocolate anyway.
Tavascarow

Quote:
"We are now in a new world with a completely different level of food prices because of the direct link with fuel," he says.

He says biofuels are only affordable because of the high subsidies they receive, particularly in the US.

What about the huge tax breaks the oil industry gets at the moment (particularly in the US) & the subsidised diesel prices for agriculture (red diesel)?
oldish chris

The important thing is that it is always somebody else's fault.

They are sort of right, the problem is multifactorial. Biofuels are partly to blame. Nestles is hardly a beacon of environmental virtue either. Cargills also blames the biofuel industry. In the past I've come across eco-warriors who verge on the apoplectic at the mention of the word "Cargill".

I do tend to avoid biofuel and Nestles, Cargills is a bit harder to avoid.
tim_and_nicky

They are mad.... contradicting each other....
food prices too high, food prices too low
Blame the rise in urban poor
What about the rise in populations generally?
And the dependence on oil based transportation.
oldish chris

not to mention Hedge Funds investing in commodities such as grain and soya.
Shane

Quote:
He says biofuels are only affordable because of the high subsidies they receive, particularly in the US.

What about the huge tax breaks the oil industry gets at the moment (particularly in the US) & the subsidised diesel prices for agriculture (red diesel)?

Corn-based biofuels grown in the states are only viable because of the subsidies - they cost roughly as much fossil fuel-based energy to produce as the energy they ultimately deliver. The whole industry was started up as a means to divert huge subsidies to the US farming lobby, which holds a lot of power come election time.
oldish chris

not to mention Hedge Funds investing in commodities such as grain and soya.
just found out, I wasn't quite right on this, seems that a severe drought in the US is also impacting prices:
Quote:
Nick Higgins, commodity analyst at Rabobank, said the impact of the weather on corn and soya bean crops is much worse than five years ago but so far traders have not pushed up prices as dramatically. "The speculatively driven highs reached in the wheat crop during that period may not be reached but, in terms of damage to the actual crops, it's worse," Higgins said.
- Guardian, http://www.guardian.co.uk/environment/2012/jul/19/record-cereal-prices-food-crisis Lorrainelovesplants

We avoid Nestle products -
dont like their ethics.
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