World Agriculture
Developments, trade, data, and topics in world agriculture
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THINKING: Feeding poultry with more pastureFood for thought: Use more forages in livestock farming Jun 29, 2015 Brown Swiss cattle are shown in a silvo-pasture in the Ecuadorian Amazon. Credit: Diana Burbano Small-scale livestock farming in the tropics can become more intensive yet sustainable if more and better forage is used to feed the animals being reared. This could benefit farming endeavours in rural South Asia, sub-Saharan Africa, Central America and the Caribbean, and see a move away from the increased reliance on grain-based feeds, say scientists at CIAT (International Center for Tropical Agriculture) and Thomas Rudel of Rutgers University in the US, in Springer's journal Ambio. The world's livestock population has over the past two decades shifted from ruminants (such as cattle, goats and sheep that digest their food in a complex of stomachs) towards monogastric animals (such as pigs and poultry that have a single stomach). Whereas the former can quite easily digest pasture grasses, other forages and roughages, the latter cannot. In especially the developed world farmers increasingly use more grain and soybean-based concentrates to feed their animals. This has led to a rise in grain prices and has reduced the availability of food for human consumption. Rudel and his associates at CIAT argue that the "LivestockPlus" program could be a way forward by increasing the use of forages to feed livestock, which is often reared on small farms, in the tropics. Its agricultural research and extension efforts help to intensify in sustainable ways the management of forage grasses and legumes, shrubs, trees, and animals. "In addition to enhancing the food security of poor consumers by reducing global demand and prices for grains, forage-focused sustainable intensification would improve the productive capacity of poor producers who raise crops and livestock on small landholdings in rural South Asia, sub-Saharan Africa, and Central America.", says Rudel. So far the adoption of new tropical forages has often been fitful with exception such as the large scale adoption of pasture grasses in Latin America, explains Rudel, as it often only occurs in specific locations and too slowly to produce noticeable changes in financial or environmental terms. It can be done better by introducing new and more nutritious forage varieties and animal management practices to specific farming areas, and by spreading the news about it from farmer to farmer by word of mouth. The tighter integration of forage production with other agricultural activities on a farm could also work well. Success can also better be accomplished through coordinated efforts by farmers, agricultural extension workers, and scientists from national or international organizations like CIAT. These efforts should explicitly take note of the ecological process at work in a specific agricultural production system, current farming practices, and what the capabilities are of those who are going to use the new innovations. Outside interventions like LivestockPlus would be most helpful when they fit well into the array of other smallholder activities. To assess these possibilities, farmers need specific information about planting and management requirements for forages. Suitable maps could for instance inform outreach and smallholder efforts about when, where, and how to use new forages best. Explore further: Native shrub offers dining option in drier months
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Global trade flows and prices may be under pressure in 2015According to Rabobank's latest quarterly poultry report for the second quarter, global trade flows and prices are likely to remain under pressure for the rest of 2015. The long-term effects could be significant as a result of bans on breeding stock trade imposed by several importing countries. Producers in countries with balanced markets will continue to enjoy healthy profits. A global approach to bird flu is more important than ever. Rabobank expects prices to remain under further pressure over the next month. "The poultry industry base is facing stronger headwinds than expected from feed prices due to the strong dollar, falling pork prices and increased competition from trade restrictions," said Nan-Dirk Mulder, animal protein analyst at Rabobank. "The price of whole chicken, chicken legs and chicken feet fell further, and the price of chicken breast remained relatively strong." in such a deteriorating situation, the decline in supply growth is very important. This has been confirmed by countries with healthy markets, such as the United States, Brazil, South Africa and Japan, where the poultry industry still generates good profits. Rabobank believes that a global solution to the avian influenza problem is more important than ever before. Strict biosafety standards should be implemented and industrial business models should be adjusted to solve practical problems in new markets. The government should follow the relevant international guidelines based on avian influenza trading restrictions. Many Asian countries that have implemented restrictions on breeding poultry trading, including China, expect further shortages in the local breeding poultry supply chain and may be affected by low supply the following year. Poultry Industry Prospects by Region EU: Profits recovered slightly. Trade positions will improve due to the weak euro and the possible withdrawal of restrictions on bird flu trading. US: HPAI outbreak wave, but little impact on broiler industry. The local market demand is large and profits remain strong. Brazil: Competitive position in global trade. Rivals exist for real weakness and are caught in the bird flu ban. Russia: The market is not optimistic due to the continued increase in feed costs and the abolition of wheat export taxes. China: less bird flu, but still greatly affected. Profits are at their lowest level in five years. Thailand: Despite strong exports, supply still exceeds demand. South Africa: Profits improved, but the outlook for earnings from exports to the European Union was more uncertain. 2015/6/29 Source: International Livestock Network
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Japan allows corporate enterprises to purchase agricultural land to promote modern agricultural developmentEconomic Daily, Tokyo, June 23 (Reporter Yan Haiphong) In order to improve the comparative advantages of agriculture and promote the transformation from traditional agriculture to modern agriculture, the Japanese government has introduced a number of agricultural reform measures in recent years to allow corporate enterprises to purchase agricultural land to encourage strength Of enterprises participate in agricultural production. Recently, in addition to some manufacturing enterprises entering the agricultural field, large supermarkets and chain stores that directly sell agricultural and sideline products have also entered agriculture and participated in agricultural production and technological development. In recent years, Japan's largest supermarket companies "Ito Yang" and "Aeon" have opened large farms around Tokyo and in the northeastern region, using advanced agricultural machinery and modern information technology to mass produce rice, fruits and vegetables. "Yongwang" also cooperated with local rice production experts and farmers to develop a new rice variety "Caiguang", which has a taste significantly better than previous varieties. After the Japanese government announced the "agricultural special zone" policy, "Ito Yang" established an "agricultural product production base" to produce dozens of vegetables and fruits, which are provided to a series of retail stores across the country. The company decided that in the next five years, it will expand its "agricultural base" to more than 30 regions across Japan. After successfully planting new varieties of rice, Yongwang decided to broaden the channels of agricultural production, produce a large number of vegetables, and also develop and introduce new vegetable varieties in the way of joint experts and farmers. The large Japanese chain store "Rosen" has also recently used the "agricultural special zone" policy to set up "farms" in various parts of Japan, and at the same time set up large vegetable greenhouses to produce a variety of vegetables with high freshness according to the sales characteristics of the chain store. This practice of large supermarkets in Japan has been welcomed by consumers. According to a survey conducted by relevant Japanese agencies, the proportion of agricultural products independently produced by large supermarkets and some chain stores in Japan has reached 23%, and will increase to 30% in one year. According to an official Japanese survey, the comparative advantage of agriculture is improving as corporate enterprises actively enter the agricultural field and transform agricultural production to electronic, information-based and energy-saving. 2015/6/23 Source: China Economic Net-Economic Daily
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Global wheat supply is abundant and competitive market prices are falling.As of the week of June 19, 2015, the global wheat market prices mostly fell, continuing the rise of last week, mainly due to sufficient global wheat supply, fierce competition in the export market and sluggish demand. In addition, the weather in the winter wheat producing areas of the United States tends to be dry, which helps farmers to speed up the harvest of winter wheat and is also detrimental to wheat prices. On Friday, the July 2015 soft red winter wheat futures on the Chicago Board of Trade (CBOT) fell 15.25 cents from a week ago to 488.50 cents per bushel. The July hard red winter wheat futures on the Kansas City Futures Exchange (KCBT) closed at 503.25 cents per bushel, down 22.75 cents from a week ago. The July hard red spring wheat futures on the Minneapolis Grain Exchange (MGEX) closed at 543 cents, down 18.25 cents from a week ago. The September 2015 flour wheat period on the EU Euronext exchange closed at about 178.50 euros, down 1.75 euros from a week ago. The seller of Argentine spot wheat (12% protein content) quoted US $226 per ton, the same as last week, FOB price. The September 2015 wheat futures of Zhengzhou Commodity Exchange closed at 2,564 yuan per ton, down 28 yuan from a week ago. The U.S. Department of Agriculture predicted last week that the global wheat ending stock in 2015/16 would be 0.2024 billion tons, slightly lower than the 0.203 billion tons predicted last month, but still higher than the already huge stock of 0.2004 billion tons last year and 0.18998 billion tons in 2013/14. Harvesting of winter wheat in the United States has begun. Recently, the weather has continued to rain, and excessive rainfall in some areas has delayed the progress of wheat harvest. However, the weather forecast said that the weather in the Great Plains of the United States will tend to be dry, which will help farmers harvest winter wheat crops, triggering long profits to unwind and sell. According to the crop weekly report released by the US Department of Agriculture, as of June 14, the harvest of winter wheat in the United States had been completed by 11%, compared with 4% last week and 15% in the same period last year, with an average progress of 20% in five years. From the perspective of U.S. wheat exports, according to the weekly export sales report released by the U.S. Department of Agriculture, as of the week of June 11, 2015, the net sales volume of U.S. wheat in 2015/16 was 315,700 tons, slightly lower than the 376700 tons a week ago. As of June 11, total U.S. wheat export sales (shipped and unloaded) in 2015/16 were 5.0473 million tons, down 26.9 percent from a year earlier. The USDA currently expects to export 48.31 million tons in 2015/16 and 49.26 million tons in 2014/15. In Australia, due to the possibility of dry weather in eastern Australia due to El Nino phenomenon and the possible reduction of wheat planting area, the Australian Bureau of agricultural resources and economic science this week predicted that Australia's wheat production in 2015/16 would be 23.6 million tons, slightly lower than 23.67 million tons in the previous year, which would also be the second consecutive year of decline in Australian wheat production. ABARES had earlier expected a wheat yield of 24.4 million tons. In Russia, Russian wheat prices remained stable last week. Despite the bright outlook for production, it is still difficult to resolve market concerns about wheat export tariffs. The Russian government will implement new wheat export tariffs from July 1. If the ruble weakens in the next few months, the new floating export tariffs could threaten the pre-sale profits of Xinmai, analysts said. According to IKAR, a Russian agricultural consulting agency, as of the end of last week, Russia's new wheat quotation (protein content 12.5) was US $190 per ton, FOB price, which was also stable for the third consecutive week. 2015/6/24 Source: Food Industry Network
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Milan Expo 2015: Agriculture and food safety challenges get the most attentionThe 2015 Milan World Expo revolves around the theme of "Feeding the planet, the source of life" (energy for life). The 2015 Milan World Expo will last from May 1 to October 31. It is a comprehensive international Expo after the 2010 Shanghai World Expo, with 148 countries and international organizations participating. The concept of "sustainable" and "innovation" runs through the theme. Seeking to provide sustainable food security for the world the 2015 Milan Expo has seven sub-themes, namely food and food supply, agriculture and biodiversity, food supply chain, meal education, food and life, food and culture, food cooperation and development, etc., aiming to explore the world Provide sufficient, high-quality, healthy and sustainable food security, and find effective ways to rationally use resources, protect the environment, nourish humans, and feed the earth, find a balance between human and natural development. This year's Milan Expo broke the tradition of dividing venues by geographical location or region of each continent. The tour routes were designed according to the theme and the venues were allocated accordingly. All the participating venues faced the same Expo Avenue. The master plan idea shows the various processes of crop cultivation, food processing, food distribution and food trade. The Milan Expo Park has a total area of one million square meters, and the host country, the Italian National Pavilion, has attracted much attention. The Italian Pavilion covers an area of 13000 square meters. The design concept is "urban forest". The structure is complex and ingenious. The total cost is reported to be 44 million euros. For the first time, Expo Milano will feature food from different countries and seek to address the food needs of up to 9 billion of the world's population by 2050. The U.S. Pavilion at the Expo is sponsored by private individuals and corporations and covers an area of 35000 square feet with a 7200 square foot vertical farm. When US President Barack Obama announced the US participation in 2014, he said that the United States will show its contribution and innovation in food to improve global agriculture and human health. The U.S. Pavilion will send food vans to tour the venue, offering American cuisine. The U.S. Pavilion also has interactive facilities on obesity, genetically modified foods, etc., while discussing food safety issues in a warming climate. The China Pavilion covers an area of 4590 square meters, while the China Enterprise Joint Pavilion and Vanke Pavilion cover an area of 1200 square meters and 900 square meters respectively. The theme of China Pavilion is "the field of hope, the source of life". In addition to national pavilions, Expo Milan 2015 also features a children's theme park, an art and food area, and a future food area that introduces the latest food technology in various countries. 8 million tickets for the Milan Expo have been sold worldwide through an agreement. The six-month Expo is expected to attract more than 2000 million tourists from all over the world. On May 1, the media reported that more than 1 million tickets for the Milan Expo have been sold in China. The organizing committee predicts that 1.5 million Chinese tourists will travel to Italy and visit the Expo during the Expo. It is understood that the Milan Expo tickets according to the age of the ticket buyers, the number of people, visit the date and number of days to set the price of different stalls. "Sustainable development is a common problem facing the world. I hope people will use the opportunity of the Milan World Expo to study how to balance the relationship between business activities and sustainable development." Italian Minister of Agriculture, Nutrition and Forestry Maurizio Martina said in an exclusive interview with Xinhua News Agency reporters in Brussels a few days ago that agriculture involves many aspects. Italy is most concerned about people's responsibility for food safety and food safety at this World Expo. Challenges. When introducing the government's approach to ensuring food safety, Martina said that in Italy, food labels on sale must provide sufficient information to ensure food safety and reliability. If a business violates the regulations, it will be severely punished. He pointed out that Italy's official food safety guarantee system is coordinated by multiple departments and is mandatory. At the same time, the Italian food industry and private owners have also developed a series of standards for different food types. It is the combination of public and private systems for food safety control that ensures food safety and high quality. Martina also said that in setting the topic of the World Expo, Italy focused on and integrated the United Nations strategy and issues related to food. At that time, it is of great significance for exhibitors to share experience around agricultural science and technology and agricultural innovation, and is expected to promote a better balance between agricultural production and demand. It is reported that during the Milan World Expo, the exhibitors will sign the "Milan Charter" to make joint commitments on food security and other issues, and submit it to the visiting UN Secretary-General Ban Ki-moon on "World Food Day" on October 16. Future Supermarket: Big Data Takes You to Picking Vegetables "Business Week" reported that compared with the 2010 Shanghai World Expo, which captured global attention with large-scale buildings, the 2015 Milan World Expo, Italy, known for its wine and food, focused on the most primitive human needs: eating. The 2015 Milan World Expo, from the origin to the dining table, the world's smartest head, to solve the problem of "eating. Since the debut of the first World Expo in 1851, it has been an arena for countries to showcase the use of new technologies and promote human progress. For example, the debut of harvesters 164 years ago promoted the industrialization of agriculture, and the technology of reinforced concrete ushered in the world of high-rise buildings; including airplanes, movies, computers, etc., all took the lead on the stage of the World Expo. This time, countries are showing the use of science and technology to solve food safety, food supply, sustainable agriculture and other issues. In the first week of its opening, the world's focus was on a "supermarket of the future". Inside the supermarket is a wide and high-rise space. The front and back, high and low screens show the big data (Big data) operation in real time. Who is coming, what products are purchased, and what activities are going on in the market. Just like the interaction, exchange and goods grabbing between people and vendors in the traditional market, with big data, everything is clear at a glance. The 1500 products are displayed on the shelf one by one according to categories. When you want to pick up the orange from Sicily, the screen on your head moves before you touch it. It is divided into two, the screen is drawn, and the coordinates fall on Sicily on the world map. The varieties, producer names and price charts of oranges are presented. The next picture shows the nutrients and calories of oranges, the way they are transported from Sicily, the carbon footprint and the planting method. I don't have to touch it, but I already know it. Not only fresh products, but also pasta, biscuits and even microwave products. With a wave of his hand at the exhibition area, even the ingredients of biscuits, the factories produced, the calories and the suggestions for eating all appeared. What's more, the glass screen can also teach you how to cook! The glass tabletop in the center of the supermarket is like a jewelry display with models of cooking. After clicking on the side of the table, the glass becomes the screen at the position of the microwave oven or oven in the general western kitchen, with instructions, icons and animations, which cooperate with the model behind to demonstrate the cooking steps, with the effect like shadow play. "We want to present a seamless simulation of reality, but we don't want a bulky device like Google Glass," said Carlo Ratti, an Italian designer in charge of future supermarket curation and director of MIT's sensor technology laboratory. All the technologies used have only one purpose: to tell the story of food. He reached out to the wine area, and the screen moved. From the production area, the grape species, to the story of the winery, he looked at the bottle of wine as if appreciating a work, "Why can't consumers know these stories?" 2015/6/20 Source: International Livestock Network
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FAO official calls on all parties to support food and agriculture in tackling climate changeAlexander Mebeck, senior policy officer for agriculture, environment and climate change of the United Nations Food and Agriculture Organization, said recently that climate change is affecting global agriculture and will have a further impact in the future. He called on all parties concerned to support food and agriculture in addressing climate change to ensure world food security. In an interview with Xinhua News Agency reporters, Mebeck said that the countries and regions most seriously affected by climate change are those whose citizens are in a state of malnutrition and social instability. The number of vulnerable groups in such countries and areas is about 2 billion, who depend on agriculture for their survival and engage in agricultural or agriculture-related activities. "For them, a small change in climate can quickly affect food security," Mebeck said." A number of climatic parameters such as summer temperature, rainfall and rainfall area will play an extremely important role in agriculture. Even small changes will affect agricultural production and harvest. Mebeck said that climate change is already happening globally and has a greater impact on agriculture than extreme weather. He said climate change could lead to lower agricultural yields in some areas, unstable yields or change the geographical distribution of crops. He believes that agriculture accounts for a large proportion of the entire economy in developing countries and has an impact on local employment and the implementation of national development policies. Given the large number of smallholder farmers in developing and poor countries, helping these groups to improve their ability to cope with climate change will help ensure world food security. Mebeck also said that attention to climate-sensitive agriculture will help prevent and mitigate the impact of climate change, resolve the risk of food crisis, and protect the environment. He said that FAO recommends promoting food security by increasing production capacity and improving rural population structure; at the same time, agricultural production needs to adopt methods to adapt to climate change and reduce or not increase excessive greenhouse gas emissions as much as possible. Release date: 2015-06-16 Source: Xinhua
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Brazil's soybean production is expected to hit a forecast high.International market: Brazil's soybean production is expected to hit a forecast high. 2015-06-12 8:59 Source: China Grease Net forecast data released by Informa Economics, a private analysis firm in Tennessee, USA, shows that Brazil's soybean production in 2014/15 is expected to be 95.5 million tons, 1 million tons higher than the earlier forecast. In contrast, the forecast released by the U.S. Department of Agriculture on Wednesday was 94.5 million tons, which was the same as the forecast in May. Informa also expects Argentina's soybean production to be 60 million tons in 2014/15, 1.5 million tons higher than the company's earlier forecast. In contrast, the U.S. Department of Agriculture this month also raised its forecast for Argentina's soybean production to 59.5 million tons from 58.5 million tons last month.
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U.S. soybean spot market quotes are downInternational markets: U.S. soybean spot market quotes are down. 2015-06-12 9:02 Source: China Grease Net s. soybean spot quotes fell on Thursday, following the futures market lower. South American soybean production is huge, the pressure on soybean prices. On Thursday, the National Commodity Supply Company (CONAB), a subsidiary of Brazil's Ministry of Agriculture, raised Brazil's soybean production to a record 96 million tons, higher than the current forecast of 94.5 million tons by the U.S. Department of Agriculture. In the US Bay, the average spot price of US No. 1 soybean was 10.195 US dollars per bushel, or about 374.6 US dollars per ton, down 9.5 cents per bushel from the previous trading day. The basis price in the Gulf of Louisiana is 79 to 80 cents a bushel higher than CBOT's July soybean price, and 79 to 80 cents higher in the previous trading day. In the central region of Illinois, the average price for soybean processing plants to buy soybeans was $9.725 per pu, down 9.5 cents from the previous trading day. The basis price is 25 to 40 cents higher than CBOT's July soybean futures price, which is the same as the previous trading day. On Thursday, the Chicago Board of Trade (CBOT) soybean futures closed down. The soybean futures for delivery in July 2015 fell about 9.5 cents to close at 940 cents/pu. November soybean period fell about 13 cents to 908.75 cents/pu.
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Argentina produces 24.5 million tons of corn in 14-15 years~ ~ argentina produces 24.5 million tons of corn in 14-15 years 2015-06-10 10:18 | source: China Grain Network | buenos Aires, June 9: South American agricultural expert Mike. Dr. Cordonez (Michael Cordonnier) released the report. At the same time, Dr. Cordonez maintained the 2014/15 Brazil corn production forecast unchanged at 79 million tons, but the Argentina corn production forecast was increased by 500000 tons to 24.5 million tons. In contrast, the U.S. Department of Agriculture predicted in its May supply and demand report that Brazil would produce 78 million tons of corn in 2014/15 and Argentina 24.5 million tons of corn.
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California restricts agricultural water use~~California Cuts Water to Agriculture 284 by Daniel Nussbaum13 Jun 2015337 On Friday, California's top water regulators issued new cutbacks on farmers holding senior water rights dating back more than 100 years. The State Water Resources Control Board (SWRCB) ordered the curtailment of all water diversions to farmers in the Delta, San Joaquin and Sacramento River watersheds holding senior water rights dating to 1903, according to a release from the agency. The order places new restrictions on 114 senior water rights holders in total, including the cities of Chico, Placer, Paradise, and Patterson. The California Department of Fish and Wildlife, Department of Water Resources (DWR), and several other municipal water districts are also affected. The new cutbacks come as California grapples through the fourth year of a record drought. In April, Gov. Jerry Brown issued mandatory restrictions on urban water use, but the governor and top water officials faced criticism for exempting agriculture from the plan. The restrictions are the first placed on senior water rights holders since 1977, according to the Board. Water diversions for roughly 9,000 junior water rights holders, or those with rights after 1914, had already been curtailed for a second consecutive year. The Board says cuts for more senior water rights holders and farmers in other watersheds “may be imminent” as the state continues to monitor the effects of the drought. The cutbacks could cause farmers to abandon thousands of acres of viable farmland, says Aubrey Bettencourt, executive director of the nonprofit California Water Alliance. “I'm already receiving calls from farmers in the North San Joaquin Valley and the Sacramento Valley saying they'll lose entire tomato and rice crops," Bettencourt told Breitbart News.“ I would expect the fallowed acreage to increase, and to hear more stories of farmers walking away from crops already in the ground ." In May, some farmers with senior water rights negotiated with state regulators to cut use by 25 percent in exchange for an exemption from cuts during growing season. California has struggled to conserve water during the drought. Statewide urban water use fell 13.9% in April, a significant improvement over single-digit percentages in February and March, but a long way from Brown's 25 percent target. http://www.breitbart.com/california/2015/06/13/california-cuts-water-to-agriculture/
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Agriculture will drive Africa's economic rise~ Agriculture will drive Africa's rise to economic power From Mali to Tanzania, agriculture is propelling rampant economic growth. Governments need to continue to invest to support smallholder farmers Agnes Kalibata Dr Agnes Kalibata is the president of the Alliance for the Green Revolution in Africa (Agra). I was in Mali recently where I met a woman, Maimouna Coulibaly, who several years ago left her job in the United States and returned to her home country to start a seed company called Faso Kaba. She quickly and confidently ramped up production, from 100 tons per year to over 1,000. She is eager to keep expanding, but she's having a hard time finding financing. I have heard different versions of this story over the last few months as I travelled around the continent: African farmers and agriculture businesses experiencing an initial burst of entrepreneurial success, reflecting the tremendous potential for agriculture as an economic driver, but then encountering obstacles that raise questions about how to sustain it. The more I heard, the more I wished I could merge two important meetings taking place this week - the European Development Days in Brussels and the World Economic Forum (WEF) on Africa in Cape Town. The Brussels gathering will include a heavy focus on how development assistance can help improve food production and food security in Africa. In Cape Town, the focus is on attracting private investment to Africa's rapidly growing economies. At the sidelines of WEF Cape Town, GrowAfrica particularly focuses on how to capitalise on the opportunities that abound in Africa's agriculture sector. Agriculture in Africa today represents both an incredible development and a lucrative business opportunity These gatherings reflect the combination of forces African agriculture needs today - the support and expertise provided by development assistance in league with the investment and business acumen of the private sector. I recently left Rwanda after six years as minister of agriculture and animal resources and I am now president of the Alliance for a Green Revolution in Africa (Agra) a group that views agriculture - the sector that employs the majority of Africans - as the key to driving sustainable, equitable growth across the continent. What excites me about this work is that agriculture in Africa today represents both an incredible development and a lucrative business opportunity. What is even more exciting is the agreement, but also the echo to do things differently; to stop piloting and go to scale with what works (and there is already a lot that works); and to treat agriculture, including smallholder agriculture, as a business. The economies of many African countries are growing faster than anywhere else in the world - and agriculture, which accounts for a third of Africa's GDP, is poised to be the next instalment of the “Africa rising” narrative. African leaders sent a signal last week that agriculture in the ascendant sector when, for the first time ever, they selected an agriculture minister, Nigeria's Akinwumi Adesina, to head the African Development Bank. Adesina has become an evangelist for turning Africa's smallholder farmers - most of our food production occurs on farms that are less than a hectare in size - into businesses that generate growth at all income levels. And that's why agriculture is such an important development opportunity: growth in the agriculture sector is 11 times more effective at reducing poverty than growth in any other sector. Cash from cassava: better breeds of the staple crop will boost development Read more Members of the African Union are increasingly committed to agriculture-led growth. Only last year, they renewed their vows to invest 10% of national budgets in agriculture with very clear targets to which they want to be held accountable for. In places like Ghana, Burkina Faso, Ethiopia and Rwanda, these investments already have been tied to dramatic reductions in poverty. The World Bank finds that poverty is down by 33% in Ethiopia since 2000, and agricultural growth is the main driver. In similar work in Rwanda, the Bank attributed 45% of Rwanda's rapid poverty reduction in a relatively short period of time to growth of the agriculture sector and associated industries and services. During my travels over the last few months, there was an unmistakable optimism everywhere I went. Mali, for example, boasts of having stopped importing cereal crops over the last five years and is looking to export as much as 500,000 tons of maize to its neighbours in 2015 alone. Last year, Tanzania's farmers produced one of the biggest maize crops the country has ever seen. But in many instances the progress is tempered by barriers, that need to be addressed. The bumper crop in Tanzania was a benefit mainly to farmers, who had access to storage facilities and links to market opportunities. Too many farmers were left singing about “the problem of a good year” - lots of surplus produce rotting before they see a market. In Burkina Faso, farmers need around 100,000 tons of certified seed annually, but seed availability is only 16,000 tons. Local companies - struggling to find capital to fill this demand - can currently produce only about 6,000 tons of this. Permaculture in Malawi: using food forests to prevent floods and hunger Read more In Mozambique, I met an agriculture expert from an aid agency who said it took him years to understand that boosting yields on farms is only half the battle, and that unless one goes a step further to connect farmers to market opportunities, development assistance is often a dead end. Farmers on the other hand understand this in only one season. Without a market they do not only lose income, they risk all their capital. It becomes difficult for such farmers to invest in good seeds and fertilizers again - it makes no sense. I understand that smallholder agriculture can be a difficult sell to the business community. But there are ways development assistance with the backing of hard working committed governments can bridge that divide. In Mozambique and Ghana, for example an alliance of development partners and industry organizations have helped smallholder farmers partner with SAB Miller to grow cassava for the company's new brands of cassava beer. How to grow food in a slum: lessons from the sack farmers of Kibera Read more My experience as minister of agriculture in Rwanda and my recent travels across Africa have made it abundantly clear that if we link development assistance with market opportunities - if we combine the spirit of the European Development Days with that of the World Economic Forum - we can accomplish great things. global development professionals Join the Guardian Global Development Professionals Network Join up to access commentary and insight from development experts across the world. Click here I urge our friends in the development community to embrace agriculture as an income opportunity for millions of Africans - and many are - and I ask our partners in the private sector to think about how development assistance can help smallholder farmers cross the chasm from farming as a struggle to survive to farming as a business that thrives; that they (private sector) in fact can be part of growing Africa. Dr Agnes Kalibata is the president of the Alliance for the Green Revolution in Africa (Agra) and until last year, Rwanda's minister of agriculture and animal resources. She is speaking at EU Dev Days. Join our community of development professionals and humanitarians. Follow@GuardianGDP on Twitter. http://www.theguardian.com/global-development-professionals-network/2015/jun/03/agriculture-africa-rise-to-economic-power
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What can India learn from China's agricultural development?~~What India can learn from Chinese agriculture Modi would do well to remember Mao's dictum of 'walking on two legs', which envisaged a balance between agriculture and industry What India can learn from Chinese agriculture Over the past few decades, rapid agricultural growth has allowed the Chinese growth engine to pick up pace without stoking inflation. Photo: Indranil Bhoumik/Mint According to one of his ministers, Prime Minister Narendra Modi wants India to have a China-like dominance in manufacturing. China's success in manufacturing holds several lessons for India but China's performance in agriculture is no less remarkable. Over the past few decades, rapid agricultural growth has allowed the Chinese growth engine to pick up pace without stoking inflation. Unlike the advanced economies of Western Europe and North America, farm growth in China has been driven by small landowners rather than by industrial farming. As per National Sample Survey Organization data, the average size of operational holdings in India fell to 1.2 hectares in 2010-11 from 2.3 hectares in 1970-71. China's average holdings are even smaller. According to the 2000 World Census of Agriculture, the average size of Chinese holdings was 0.6 hectares. Thus, farming in both countries is dominated by small farmers. Despite the similarities, Chinese agriculture has fared better than Indian agriculture on most counts over the past few decades. Both India and China are among the world's top three producers of important crops such as rice, wheat, cotton and maize, but China produces much more from each hectare of land than India does. In the early 1960s, farm sector indicators of India and China looked similar, but since then China has left India behind. According to Food and Agriculture Organisation (FAO) data, the ratio of value of agricultural production (in constant 2004-06 international dollars) in China and India was 0.99 in 1960. By 1990, this ratio became 1.66 and 2.23 in 2010. As the chart below shows, the widening gap is due to faster growth of agriculture in China. It is worth noting that much of this growth has been achieved by improvement in yields and not increase in agricultural area. Agricultural area is defined as the sum of arable land, land under permanent corps and permanent meadows and pastures. Data from FAO shows that Chinese agricultural area has stagnated after increasing till the 1980s, as the second chart shows. Given the constraint on further expansion of area under cultivation, improving yield holds the key to increasing agricultural production in the future. Yield gap between India and China has continued to increase since 1960s. The chart below shows the divergent trends in cereal yield for the two countries. It is this phenomenon that has helped China surge ahead of India in agricultural production. China's farm success has been driven by heavy public investments in the sector. In China, the rate of growth of net capital formation in agriculture was in excess of 20% over the last decade. An FAO study shows that the bulk of the increase in investment has come from the public sector. High farm growth has translated into rapid reduction in poverty as well. Several studies attribute China's dramatic decline in rural poverty to faster farm growth. According to official estimates, rural poverty levels are as low as 2.5% in China. But despite the decline in poverty, inequality in China has grown sharply in recent years. The rural-urban income gap has widened primarily because of faster growth in urban areas. While China has performed better in terms of rate of growth of agricultural output, India seems to have a better record in terms of inequality between agricultural and non-agricultural sector. A simple way of measuring this is to find out what has been happening to the share of agriculture in gross domestic product (GDP) and employment. Agriculture's share in the former falling at a faster rate than the latter would mean that those engaged in agriculture are seeing a decline in relative income. The chart below shows the ratio of agriculture's share in value added to its share in employment for India and China. One should guard against inferring from the above chart that those engaged in agriculture in China are worse off in absolute terms than their counterparts in India. Given the fact that urban and non-agricultural incomes have grown at a much faster rate in China than in India, the extent of relative inequality between the rural and urban sectors seems to be greater there. Greater social security coverage in urban areas might have aggravated this inequality further in China. The issue of rural-urban inequality is not just of academic interest. Recently, rural-urban tension was seen in China. There are studies which estimate that around 200,000 incidents of mass unrest were recorded in China in 2012, and 55-60% of these were related to land acquisition. Even a fraction of such protests can have serious ramifications for a democracy like India. Another crucial issue regarding agriculture is that of self-sufficiency in food. Despite performing better than India in terms of agricultural production, China has witnessed a rise in agricultural imports. This is in contrast to India's increasing agricultural exports, which now constitute around 10% of its total exports. The two charts below show the divergent trends in agricultural trade surplus of China and India. An examination of cross-sectional and time series data on per capita cereal consumption might provide an answer to this mismatch. As incomes rise in a given economy, there is a diversification of dietary basket. Diversification of dietary basket is commonly understood to lead to a decline in the share of cereal production as demand for other food items increases. FAO data shows this to be true for China, where the share of cereals in total production has come down from around 37% in 1961 to 20% in 2013. For India, this has changed from 33% to 25% during the same period. However, this does not mean that there is a decline in cereal consumption levels because although the direct demand for cereal consumption in staple form declines, the indirect demand in the form of feed increases with rising incomes. This is in contrast to the commonly misunderstood notion that cereal demand declines with increase in income, which is only true for the direct demand component. The per capita GDP of China is more than four times that of India. Still its per capita domestic demand for cereals is more than that of India's. The figures are much higher for developed countries like the US, as shown in the chart below. What this means is that as per capita incomes rise in India, cereal demand is likely to increase, in line with the historical experience of other countries. Given the fact that cultivated area cannot be increased, such dietary diversification will necessitate either a large increase in yields or imports. The latter seems to be happening in China's case. But while China has large merchandise trade surplus that allows it to import food in large quantities without causing a serious balance of payments problem, India does not enjoy such a luxury. China's overall economic success cannot be understood without a careful reading of its agricultural sector. The manner in which China put in place incentives for small farmers and supported them through sizeable public investments in agriculture and rural electrification holds important lessons for India. At the same time India, must guard against policies responsible for large-scale rural discontent, which can have drastic consequences in a democratic set-up. China's trajectory shows that India will face either rising food insecurity or falling net export earnings in agriculture unless it is able to improve productivity growth rapidly. In his quest to put India on the same pedestal as China in manufacturing, Modi would do well to remember Mao's dictum of “walking on two legs”, which envisaged a balance between agriculture and industry. http://www.livemint.com/Opinion/bORKeOM7iNCRvi4nNse8gO/What-India-can-learn-from-Chinese-agriculture.html
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Biofuels, Food, and the American Midwest~ ~ Biofuels, grain and the American Midwest KEITH WOODFORD Last updated 06:30, June 15 2015 Farmer Dan Roberts inspects his corn crops during harvest in Minooka, Illinois. JIM YOUNG Farmer Dan Roberts inspects his corn crops during harvest in Minooka, Illinois. . THE American Environmental Protection Agency has recently announced plans to reduce the 2015 and 2016 legal requirements for biofuels within American fuels. At the same time, the American Midwest looks like it could be heading for a bumper harvest year, possibly beating last year's records. The reason the Midwest is so important is that it is the American grain bowl. Increasingly, the Midwest is also becoming the centre of the American dairy industry. The twelve key contiguous states are Ohio, Michigan, Indiana, Wisconsin, Illinois, Minnesota, Iowa, Missouri, North Dakota, South Dakota, Nebraska and Kansas. The Midwest is sufficiently important that the effects spill over immediately into global grain prices. Increasingly, they can also influence global dairy prices. Given the current combination of Midwest weather and biofuel regulations, futures prices for grains are looking soft, with the December 2015 prices for the growing corn crop around $3.60 per bushel. Wheat, as is usually the case, is considerably higher at around $5 per bushel. These prices convert to New Zealand dollars, and in units with which we are more familiar, at about $200 per tonne for corn and $260 per tonne for wheat. There are several messages for New Zealand in all of this. The first is that American production will set an upper limit on our local grain prices over the coming year. New Zealand grain is used mainly in the animal industries: pigs, poultry and dairy. In contrast, most of the grain for human consumption comes from overseas. For both categories, the local prices are controlled by international prices plus transport costs. The second message is that low feed prices are reducing the pain being felt by American dairy farmers. This reduces any incentive for American dairy producers to reduce production. The associated message is that the big American dairy farmers, with their large-scale and increasingly automated systems, are internationally competitive. The smaller farmers with less than 500 cows remain non-competitive. Within America, it is the big farmers who are taking over. Ad Feedback The third message is that current prices confirm once again that the international grain shortages of around 2008 are now well behind us as new technology and new investment has kicked in. And that must surely be a reminder to us here in New Zealand that we, too, have to keep moving forward with our own new technologies if we are to stay competitive. Coincidentally, the Food and Agriculture Organisation of the UN has also just brought out its latest food insecurity report, showing that the proportion of the global population that is under-nourished has dropped from 23 per cent to 13 per cent over the last 24 years. That still leaves nearly 800 million people under-nourished, with most of these having no access to markets. South Asia and East Asia are the regions that have made the most progress, while Africa and now parts of the Middle East struggle to solve their problems. War, civil strife, and non-performing institutions remain key elements of food shortage. Long term, the Americans remain committed to increasing biofuel production, but the current constraint is the so-called blend wall. Almost all American cars now run on at least a 10 per cent ethanol mix (E10) but most cars are not designed for higher values. And for those cars that can handle up to E85, the distribution system across America is inadequate. One step in breaking through the blend wall is a new $100 million programme to encourage flexi-fuel delivery pumps. From there it will be onwards and upwards to increasing ethanol production. Currently about 37 per cent of the American corn crop is used for ethanol production, with some estimates even higher. However, ethanol comes only from the carbohydrate component of corn, and the remaining components still go to animal feed. The American ethanol industry no longer receives direct subsidies but the industry does benefit greatly from fuel blend requirements imposed by law. The logic behind these laws lies with national security considerations rather than economics. Quite simply, the US has an ongoing quest to reduce dependence on foreign energy. In the news media, we hear ongoing stories of the Californian drought and indeed this current drought is exceptionally severe. What we hear less of is that the rain has been falling steadily across much of the rest of the country. Everywhere east of the Rockies had a cold winter, but with lots of soil moisture the crops are now flourishing. Even Texas, which has suffered a multi-year drought, has now been deluged. In the modern world, there is no such thing as stable commodity prices. So the current situation could rapidly change. The Californian drought is likely to end in November if the current El Nino conditions develop any further. That will influence American horticultural products such as almonds but have minimal effect on grain. Looking ahead to 2016, it would be too much to expect a third successive golden harvest in the Midwest, but anything could happen. So the road ahead in New Zealand, both for those who grow grain and also those who use grain, will be one of ongoing opportunities, risks, and volatility. Incorporation of new technologies while still managing financial risk will be at the core of success. Keith Woodford is Honorary Professor of Agri-Food Systems at Lincoln University. He combines this with project and consulting work in agri-food systems. His archived writings are available at http://keithwoodford.wordpress.com -Stuff http://www.stuff.co.nz/business/farming/opinion/69235147/biofuels-grain-and-the-american-midwest
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Food Production Expected to Increase, U.S. Food Prices LowerU.S. Grain Prices Slide on Higher Supplies Forecast Wheat futures fall more than 3%, while corn drops 2% on USDA projections Jesse Newman Updated June 10, 2015 4:17 p.m. ET U.S. grain prices fell sharply after federal forecasters projected larger-than-expected domestic supplies, owing in part to improved prospects for the wheat crop in the Plains. Wheat futures declined more than 3%, while corn slid 2%. Soybean prices dropped slightly. In a monthly report, the U.S. Department of Agriculture boosted its forecast for U.S. wheat production and stockpiles for the season ending in May. The government said late-season rains had bolstered the health of the wheat crop in the central Plains, though some areas have received excessive moisture that could diminish yields. The USDA estimated that domestic wheat output in the 2015-16 season will total 2.121 billion bushels, topping analysts' estimates of 2.096 billion. The government said domestic wheat reserves would total 814 million bushels at the end of the season next May, above analyst forecasts of 791 million. Federal forecasters also said global wheat supplies-already historically high-would rise next season to about 202.4 million metric tons from an estimated 200.4 million tons in 2014-15. The government is making the case that “rain makes grain," said Dave Marshall, a farm-marketing adviser at TFCG LLC in Nashville, Ill. Still, he said, “a [harvesting] combine will ultimately tell ." Wheat futures for July delivery, the front-month contract, declined 18 3/4 cents, or 3.5%, to $5.13 1/2 a bushel at the Chicago Board of Trade. The USDA estimated that U.S. corn supplies on Aug. 31, the end of the 2014-15 season, will total 1.876 billion bushels, above analysts' forecasts for 1.858 billion. It cited in part a reduction in its projection for the use of corn in ethanol production. The government maintained its existing estimates for U.S. corn production this autumn, pegging output at 13.63 billion bushels, lower than analysts' estimates for 13.651 billion bushels. The USDA projected larger-than-expected global corn inventories. It said world corn stockpiles at the end of the 2015-16 season are expected to fall to 195.2 million metric tons from 197 million in 2014-15. Analysts had estimated 191.8 million metric tons and 192.4 million metric tons, respectively. “It is the world production numbers that are the drag” for corn prices, said Kurt Koester, president of Iowa-based grain brokerage AgriSource Inc., pointing to a larger-than-expected increase in Brazilian corn production estimated by the USDA. “That's more corn on our hands than we thought we had” before the report. Corn futures for July delivery fell 7 3/4 cents, or 2.1%, to $3.57 1/4 a bushel in Chicago trading. Soybean prices settled lower after the USDA maintained its estimate for U.S. soybean production, but projected lower-than-expected domestic oilseed reserves for this season and next. The government pegged soybean output for the 2015-16 season at 3.850 billion bushels, the same as last month's forecast. The USDA estimated that U.S. soybean stockpiles at the end of the 2015-16 season will total 475 million bushels, up from estimated inventories of 330 million bushels in the 2014-15 season ending Aug. 31. Analysts had expected stockpiles next year to total 485 million bushels, an increase from their estimate for this year of 342 million. Globally, the government expects soybean stockpiles at the end of the 2015-16 season to rise to 93.2 million metric tons from 83.7 million in 2014-15. Soybeans for July delivery slid 2 cents, or 0.2%, to $9.49 1/2 a bushel on the CBOT. -Jacob Bunge contributed to this article Write to Jesse Newman at jesse.newman@wsj.com http://www.wsj.com/articles/usda-raises-projection-for-u-s-corn-inventories-1433952959
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Wheat: Iraq plans to change from importer to exporter starting in 2017~ ~ Wheat-Importing Iraq Plans to Be Net Grain Exporter by 2017 by Khalid Al Ansary June 10, 2015 - 7:01 PM HKT Updated on June 11, 2015 - 2:26 PM HKT Iraq, a wheat-importing nation where flat bread is a staple, plans to become a net exporter of the grain within two years, government officials said. The Middle Eastern country is in talks in London with international inspection companies about the classification of locally grown wheat for sale overseas, the national Grain Board said Wednesday in an e-mail. It didn't specify any commodity exchanges where it wants to sell wheat. Iraq currently imports the grain from suppliers including Canada, the U.S. and Brazil. Iraq has harvested more than 2 million metric tons this season, which lasts until the end of July, the Trade Ministry said in an e-mail, citing Saad Al-Hamdani, the Grain Board's acting director general. Iraqis typically consume 4.5 million to 4.6 million tons a year, according to Grain Board data. The ministry didn't provide details about how it plans to produce enough grain for export by 2017. The government is targeting exports even as it struggles to regain control over wheat-growing areas that Islamic State fighters have overrun since last June. Iraq lost 1.69 million tons of grain to the militants, who seized all of Nineveh, Anbar and Salahuddin provinces and part of Kirkuk, Jamal Kamel Abed, the Grain Board's former acting director, said Jan. 20. Iraq exported small quantities for use as animal fodder before becoming a net importer in 1954, according to Grain Board data. Wheat exports would represent a step toward the diversification of Iraq's oil-dependent economy. Iraq is the second-largest oil producer in the Organization of Petroleum Exporting Countries, and crude exports contribute as much as 95 percent of the official budget, Planning Ministry spokesman Abdul Zahra Al-Hindawi said by phone from Baghdad. Futures in Chicago traded at $5.1325 a bushel on Thursday, declining 13 percent this year amid expanding global supplies. http://www.bloomberg.com/news/articles/2015-06-10/iraq-to-become-wheat-exporter-within-2-years-trade-ministry
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Lower food prices contribute to food security~~Falling prices improve global food security BY Andrew Allen 11.06.2015 Sugar is among the food commodities which has fallen in price, which has made supply more secure©iStock Falling prices mean many of the world's countries have an increasingly dependable supply of food, according to the Economist Intelligence Unit's (EIU) 2015 Global Food Security Index (GFSI). The products most affected by falling prices are grain, sugar and dairy products, the EIU said. Lower-middle income countries had made particular gains in addressing food loss problems due to supply chain inefficiencies, said Lucy Hurst, the EIU's GFSI project director. This has reduced their dependence on food aid, she added.Food security improved in two-thirds of the 109 countries covered by the index. Middle income countries were the biggest beneficiaries of falling prices. According to the EIU Egypt, Burma, Azerbaijan, the Democratic Republic of Congo and Togo had most improved their security of food supply over the past year.Policies aimed at guaranteeing a secure food supply were taking effect in many markets worldwide, according to the EIU. What it described as “extensive” food safety-net programmes and increased government nutritional monitoring had also driven improvements.Investments in agricultural infrastructure such as larger and more numerous crop storage facilities across sub-Saharan Africa were beginning having an impact.“Falling grain, sugar and dairy prices, sustained economic expansion in most regions and rapid growth in emerging markets and developing countries, have narrowed the gap between the most food-secure and the least food-secure countries," the EIU said. - See more at: http://www.supplymanagement.com/news/2015/falling-prices-improve-global-food-security#sthash.TA6e3Kac.dpuf
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Climate change threatens food security~~'Climate change a great risk to food security' Staff Report June 12, 2015 ISLAMABAD: The Climate Change Ministry and World Food Programme (WFP) have agreed to work together to address climate risks to agriculture sector and issues of escalating food insecurity and malnutrition in the country. “Boosting agriculture productivity cannot be achieved as long as the sector is not climate-resilient and able to sustain climate-induced disasters, such as floods, heavy rains, hailstorms and shifting weather patterns," said WFP Country Director Lolo Castro during her meeting with Climate Change Minister Mushahidullah Khan on Thursday. Castro informed the minister that rapidly changing weather patterns and erratic rains pose a serious threat to farmers' ability to grow more crops, majority of whom have already abandoned farming and shifted to other sources of livelihoods, particularly cattle and poultry farming. “There is pressed on need for the present government to play its role for improving farmers' ability to produce food in today's changing climate by enabling them to adapt to the shifting weather patterns," she added. Mushaidullah Khan told the WFP country director that the present government is fully acquainted with the impacts of climate change on country's agriculture and water resources, which are being addressed on war-footing grounds through different policy measures. “Besides, new and climate-resilient crop varieties, which are flood, heat and heavy rain-tolerant are being introduced among farmers, that will help boost the lands of different crops and reduce their climate vulnerability," the minister highlighted during the meeting. The WFP country director showed willingness on behalf of her organisation that WFP is seriously interested to carry out Climate Risks and Food Security Analysis (CRFSA) study jointly with the climate change ministry. “Though the study would basically aim to assess climate impacts on food security and livelihoods, the overarching objective of it is to quantitatively and qualitatively assess climate (including climate variability, change and extremes) impacts on food security and livelihoods," she explained. Castro told the minister that her organisation is also ready to support to the climate change ministry for conducting a National Adaptation Plan (NAP) exercise for achieving food security. Mushahidullah Khan welcomed the generous offer and told her, “We would mull over matters that how my ministry can be of any support in conducting the CRFSA study in the country and how follow-up recommendations of the study benefit country's agriculture sector, which is mainstay of the country's economy and source of livelihood for millions of farming families ." The federal minister noted that there was no one denying the fact that making the agriculture sector resilient to different impacts of climate change was inevitable, particularly at a time when groundwater resources were fast depleting due to incidences of floods, heat waves, torrential rains and hailstorms. He observed that food security in Pakistan is highly sensitive to climate risks. “Recent climate-related events, such as the five consecutive floods from 2010 to 2014, persisting drought conditions in country's south district of Tharparkar, delayed winter rains, recent rains and hailstorm in country's north and eastern districts including Chakwal, are few examples of the potential impacts of climate on food production, access to markets and income from agricultural activities," he added. Climate Change Secretary Arif Ahmed Khan observed that the ways in which livelihoods and other vulnerabilities are linked to climate in the country have not been well studied. However, it is hoped that the WFP's proposed CRFSA study would be of great help, the secretary hoped. He said that the majority of farmers in the country are small and marginal landowners, who are resource-poor. http://www.dailytimes.com.pk/national/12-Jun-2015/climate-change-a-great-risk-to-food-security
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Feeding Indonesians: Indonesia needs to step up efforts to achieve food security~ ~ Enough to Eat: Indonesia's Food Security Drive Gains Renewed Urgency By Andreyka Natalegawa on 06:43 pm Jun 09, 2015 Category Editor's Choice, Featured, Front Page, Health, News, Politics Tags: correction, food security, Food Self-Sufficiency, malnutrition, MDGs, nutrition Jakarta. Indonesia needs to beef up its fight against hunger and malnutrition as the government struggles to ensure the availability and affordability of food, after a United Nations report showed that millions of Indonesians live in hunger. In a regional overview of food insecurity in Asia and the Pacific released on May 27, the UN's Food and Agriculture Organization noted that almost 20 million Indonesians, or around 8 percent of the nation's population, suffer from chronic hunger. The UN defines food security as existing “when all people at all times have access to sufficient, safe, nutritious food to maintain a healthy and active life ." “The government has done well, considering where we started, but helping those last few millions out of hunger will be quite difficult," Mark Smulders, the FAO's country representative in Indonesia, told the Jakarta Globe on Monday. The FAO's statements come at a time of heightened interest in national food security. In February, officials from the Indonesian Agency for Agricultural Research and Development (IAARD) and the Philippines-based International Rice Research Institute (IRRI) announced the Indonesian government's aim to become food-secure by increasing rice yields by 200 kilograms per hectare every year from the current 5,150 kilograms per hectare at present. Indonesia is estimated to produce 73.4 million metric tons of rice this year, an increase from 70.61 million tons in 2014, according to the Agriculture Ministry in January. While there has been a substantial rise in the availability food products like rice, Indonesia has made slow progress in reducing undernutrition, with the prevalence of stunting in children under 5 years of age at 37.2 percent in 2013. Within Southeast Asia, Indonesia's stunting rate is high, compared to 17 percent in Malaysia and 16 percent in Thailand. Stunting in children is primarily caused by prolonged inadequacy of food intake, repeated episodes of infections or repeated episodes of acute undernutrition. While rice is rich in carbohydrates, it lacks key nutrients that can be found in fruits, vegetables and meat. “Food security is not only about having enough food, but also having right kinds of food," Anthea Webb, the UN World Food Program's representative in Indonesia, told the Globe. “Government programs should look at the nutritional impact of their programs. Rice alone is not enough," Webb said. Indonesia has successfully achieved the UN Millennium Development Goals' hunger target (MDG-1c) of halving the proportion of undernourished people from 17 percent in 1990. However, it has failed to meet the target set by the World Food Summit (WFS) of halving the absolute number of undernourished people from 16.6 million in 1990 by 2015. Part of the difficulty in achieving that goal is the rapid growth in Indonesia's population. Public and private sector initiatives At present, the government has in place a series of measures meant to eradicate hunger nationwide. Legislation adopted in 2012 institutionalized the right to food and defined the state's obligations to ensure the availability and affordability of sufficient, safe and nutritionally balanced food for all people at all times. Raskin, a poverty alleviation and social protection program managed by the Indonesian Bureau of Logistics (Bulog), has long provided subsidized rice to low-income households identified as being Raskin Beneficiary Households (RTS-PM) by the National Team for the Acceleration of Poverty Reduction. These households are entitled to receive as much as 15 kilograms of Raskin rice per month, at a price of Rp 1,600 (10 cents) per kilogram. A kilogram of rice in retail markets, by comparison, cost around Rp 9,000 to Rp 10,000. “What is good about Raskin is the card system that helps identify the most needy," Smulders said of the program's efficiency in designating RTS-PMs within vulnerable populations. “The card system is a good safety net because it can target and channel investment, including inputs like fertilizer and subsidies, to the poorest of the poor ." However, despite the measured successes of programs like Raskin, Bulog has recently come under fire for failing to reach targets for domestic rice buying. Bulog chief Lenny Sugihat was removed from office on Monday after just five months in the role, the deputy state-owned enterprises minister said. The FAO further noted that the issue of food insecurity demands cooperation from all government ministries, particularly those that deal in labor practices. “Labor practices are deeply tied to the issue of food security. Our main objective is to educate, and we cannot do that if children are taken out of school to he put into the workforce," Smulders said. In a statement issued last month, the FAO and the UN's International Labor Organization signed a partnership agreement with the Indonesian Ministry of Villages, Disadvantaged Regions and Transmigration establishing a code of conduct on decent work for food security and sustainable rural development. “The objective of the program is to promote food security and sustainable poverty reduction of rural communities, through increased labor productivity, enhanced employment opportunities, and expanding entrepreneurial opportunities," said Marwan Jafar, the minister. The bid to establishing proper labor practices comes at a time of concentrated efforts in providing aid to Indonesia's rural and urban workers. Last Thursday, Manpower and Transmigration Minister Hanif Dhakiri announced a roadmap toward eradicating child labor. Hanif's plan includes a series of policy adjustments, including the creation and review of social safety nets. The slow progress of government initiatives means that a renewed effort must be made in strengthening the implementation of food security policies, say private sector observers. “The government must work with and support small farmers, with the aim of increasing overall commodity output," says Herry Kristanto, head of corporate affairs at Monsanto Indonesia, the local unit of the US agricultural giant. According to Herry, the government must empower farmers to make more efficient use of farmland by giving them access to technologies that would increase overall crop yield. “By using new technologies like hybrid seeds and fertilizers, farmers could increase their output without having to increase the overall area of farmland," he told the Globe on Monday. Herry also highlighted a lack of development on key infrastructure as a factor for Indonesia's food insecurity. Many roads across Indonesia are inadequate, and transportation of goods between islands can be expensive because of the difficulty of access to ports. “Transporting food and grain across Indonesia can be very difficult and expensive, which harms the overall productivity of the agricultural sector," he added. Debora Tjandrakusuma, the legal and corporate affairs director at Nestlé Indonesia, one of the nation's largest food manufacturers and a unit of the Swiss corporation, says that private companies and the government can work together to develop programs that make nutritious food available to all Indonesians. “Long-term national strategies and public-private partnerships are required to ensure food security in Indonesia, a country with 250 million population to feed," Debora told the Globe. “A long-term national strategy on education, family planning, land usage, the agricultural sector, nature and forest conservation and its disciplined implementation will help to achieve food security in the country ." Some farmers putting rice seed to be planted and deployed in the field in Kampung Embankment, Kasemen, Serang, Banten, West Java on June 8, 2015. Rice is one of the main crops in Indonesia. (Antara Photo/Asep Fathulrahman) Farm workers plant rice in Serang district, Banten province, on Monday. Rice is the main food crop grown and consumed in Indonesia. (Antara Photo/Asep Fathulrahman) Challenges ahead The government's moves toward increasing equitable food production and ending food insecurity are complicated by a series of formidable challenges, some officials say. Food production makes use of various inputs, making food prices sensitive to changes in volatile global commodity markets. The FAO has emphasized the need to diversify Indonesia's production of crops, a preventative measure against factors of instability that could harm local production markets. Indonesia's main crops include rice, corn and cassava, but little focus on other types of produce including protein-rich foods such as soybean - of which almost all is imported from the United States. Meanwhile, Indonesia's population boom could hinder efforts to fight food insecurity, particularly in terms of the sustainable allocation of land for farm use. As the population increases, people are moving into cities, and as cities grow, farmland is being developed for residential use. Herry of Monsanto says that more than 1,000 hectares of agricultural land are transformed for urban needs each year. “In Java, farmland has been converted to suit the needs of the growing cities," he said. Conversely, Indonesia must work toward controlling the amount of forests converted for farm use. “The world cannot afford for Indonesia to transform further forest land into agricultural land," said the FAO's Smulders, emphasizing the importance of Indonesia's rainforests in maintaining the region's ecological balance. Climate change also will play a role in determining the future of Indonesia's food security, said the WFP, as changes in rainfall affect Indonesia's efforts to increase food production. Conflicting interests could become a growing challenge to Indonesia's search for food security, even in terms of government programs. The 2012 Food Law contains numerous provisions calling for the realization of “food sovereignty, self-sufficiency and security ." The FAO's regional report targeted government self-sufficiency programs for "[entailing] significant trade restrictions and therefore a trade-off with economic efficiency," creating further obstacles in establishing food security. Indonesia has made self-sufficiency a prime objective through increasing rice production. Speaking on the possibility of conflicting interests between self-sufficiency and food security initiatives, Smulders said the government “must balance their different policy objects in order to reap the most benefits ." Regional cooperation As a member state of the Association of Southeast Asian Nations, and hence the Asean Economic Community that goes into full force at the end of this year, Indonesia must now grapple with the issue of food security in the regional context. Although Southeast Asia as a whole has made significant strides in hunger eradication by reaching the MDG-1c target of halving the proportion of the hungry, the region has yet to grapple with key issues of undernutrition. While Smulders believes that Indonesia and other nations in the region have the capability to free themselves from hunger, he added “the bigger challenge is to achieve good nutrition ." According to the FAO report, Southeast Asia suffers from higher rates of wasting among children than both Eastern Asia and Oceania. Wasting, the result of short-term inadequacy of food intake, has significant efforts on human growth and development. The continuance of wasting and other similar conditions has led to a host of medial issues in Southeast Asia, including the increased prevalence of anemia among pregnant women and children. In a bid toward enhancing regional cooperation in the fight against food insecurity, Asean will host its 14th Food Conference in the Philippines later this month. The conference aims to strengthen the capabilities of Asean in promoting a higher quality of life for the people of the region through the achievement of food security and safety. Asean has also spearheaded the creation of the Asean Integrated Food Security (AIFS) Framework and the Asean Plus Three Emergency Rice Reserve, initiatives meant to foster food security in the region. “Nations in Southeast Asia all share similar dietary needs and requirements," said WFP representative Webb. “Cooperation between the Asean states in ending food insecurity is inevitable and necessary ." Correction: The latest version of this story removes reference in the 22nd paragraph of FAO bidding to establish proper labor practices.
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FAO: Global Food Price Index falls to new low in MayEconomic Daily, United Nations, June 12 (Reporter Zhang Wei) The latest Food Price Index of the United Nations Food and Agriculture Organization shows that the global prices of major foods fell again in May, hitting a new low since September 2009. The main reason is that the prospects for this year's grain harvest are promising, and grain prices Will drop sharply. Data show that the global food price index fell again in May, down 1.4 per cent from April and 20.75 per cent year-on-year; global wheat, coarse grains and rice are expected to increase, corn production in China and Mexico will increase, and wheat grown in Africa and North America will also have a bumper harvest. Global prices for cereals, dairy products and meat fell by 3.8 per cent, 2.9 per cent and 1 per cent, respectively, while the vegetable oil price index rose by 2.6 per cent in May, partly due to undue concern that El Niño could affect production in Southeast Asia, FAO said. Karp, a senior economist at the United Nations Food and Agriculture Organization, pointed out that for many countries, climatic conditions will be a major factor in determining food prices. El Niño is forecast to appear this year, which is an important climate emergency. For some regions, this phenomenon will bring great danger. Southeast Asian countries such as Indonesia, the Philippines and Thailand will face dry weather, and Central America and northern South America will also be affected. These countries should be vigilant and monitor this. But the strength of this year's El Niño remains to be seen. June 12, 2015 Author: Zhang Wei | Source: China Economic Net-Economic Daily lixia
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FAO expects global rice production to rise 1.3 percent year-on-yearFAO has revised up its May 2015 global wheat, coarse grains and rice production forecast, predicting higher maize production in China and Mexico and bumper wheat harvests in Africa and North America. FAO predicts that global rice production will increase by 1.3 percent compared with last year, thanks to the increase in production throughout Asia. However, the forecast is still uncertain and needs to be watched for changes in the coming months. According to the latest forecast, global cereal production in 2015 will be 2.524 billion tons, 1% less than last year's record level. FAO believes that although some stocks will be reduced, the ratio of world cereal stocks to utilization is expected to decline slightly, indicating that the cereal market is generally stable. 2015/6/10 9:32:46 Source: Office of Business and Counsellor in Benin
