See other Business/Finance Articles
Title: Financial Times: Nations make secret deals over grain (45% RISE IN FOOD PRICES)
Source:
Financial Times
URL Source: http://en.ca-news.org/news/6007
Published: Apr 11, 2008
Author: Javier Blas
Post Date: 2008-04-11 16:42:36 by aristeides
Keywords: None
Views: 2523
Comments: 14
Financial Times: Nations make secret deals over grain 11 April 2008, 16:38 CA-NEWS (CA) - By Javier Blas, Commodities Correspondent Governments are racing to strike secretive barter and bilateral agreements with food-exporting countries to secure scarce supplies as the price of agricultural commodities jump to record highs, diplomats and cereal traders say. The moves coincide with a significant tightening of the global food market as leading exporters of agricultural commodities ban foreign sales. The government-to-government contracts could bypass those restrictions, diplomats say. Wheat traders said on Thursday that Ukraine was close to an agreement with Libya to devote up to 100,000 hectares of its own land to grow wheat for the north African country. Kiev-based analysts questioned the feasibility of such an agreement after the former Soviet republic restricted its cereals sales earlier this year. The discussions follow a barter contract signed between Egypt and Syria in which Cairo agreed to supply Damascus with rice in exchange for secure wheat cargoes. The Philippines also sought unsuccessfully last month to reach a deal with Vietnam to secure a large supply of rice. Abdolreza Abbassian, an expert at the Food and Agriculture Organisation in Rome, said: “The use of bilateral agreements is on the rise.” Diplomats also say bilateral and barter contracts signal a broader trend. “Some countries could view this [type of agreement] with interest as, in the event of future restrictions, they would be able to get the supply,” Mr Abbassian added. Leading rice, wheat and soyabean exporters such as Argentina, Vietnam and Russia have restricted their foreign sales, triggering concerns among importing countries about food supply security. Cereals traders say India has held talks with Kazakhstan to secure a bilateral contract for wheat, after New Delhi was forced to import the grain in the past two years, but added that it was unclear if any deal had been signed. The move towards bilateral agriculture contracts marks a policy U-turn as such deals were gradually abandoned in the 1990s as countries started to rely on the international food market for their supplies, abandoning previous policies of self-sufficiency. Analysts say that while bilateral agreements could help secure supplies, prices are likely to be at market prices rather than discount levels. Diplomats say Russia, Ukraine and Kazakhstan have been particularly involved in striking bilateral agreements as a way to expand their market share. Some rich developing countries have also been investing in price-risk management using agriculture commodities derivatives, such as the futures for wheat, corn and soyabean traded at the Chicago commodities exchange, bankers say. Food prices have risen on average by 45 per cent since last summer, according to the United Nations’ FAO. The cost of wheat, rice, corn and vegetable oil have all hit records this year.
Post Comment Private Reply Ignore Thread
Top • Page Up • Full Thread • Page Down • Bottom/Latest
#1. To: aristeides (#0)
food prices are on the minds of many Americans these days - at a large group luncheon today this was hot topic - along with the price at the pumps
'Individuals should not take responsibility for their own defense. That’s what the police are for. ... If I oppose individuals defending themselves, I have to support police defending them. I have to support a police state.”' Alan Dershowitz
Control the food: control the people.
I've never seen so many fat people in my life around here. It's going to take quite a while for the famine to make a dent in the widespread (pun intended) corpulence of this region.
“I would give no thought of what the world might say of me, if I could only transmit to posterity the reputation of an honest man.” - Sam Houston
The cheapest foods tend to be the most fattening. So I think you're right: in the short term, at least, rising food prices are likely to increase obesity in the country.
To reason, indeed, he was not in the habit of attending. His mode of arguing, if it is to be so called, was one not uncommon among dull and stubborn persons, who are accustomed to be surrounded by their inferiors. He asserted a proposition; and, as often as wiser people ventured respectfully to show that it was erroneous, he asserted it again, in exactly the same words, and conceived that, by doing so, he at once disposed of all objections. - Macaulay, "History of England," Vol. 1, Chapter 6, on James II.
"And I heard a voice in the midst of the four living creatures saying 'A quart of wheat for a denarius, and three quarts of barley for a denarius, and do not harm the oil and the wine.'"
I saw on the evening news last night that they're eating 'dirt cookies' in Haiti. Most haitians cannot afford to buy food the report said. Vendors take butter & salt, then mix in dirt to create batter they make cookies out of. One man said he ate 25 dirt cookies every day. The US government spends 1 trillion dollars each year on combined defense department, war spending & intelligence agencies. but they have no money to buy rice for the haitians. instead the government is helping farmers by paying ethanol producers to use corn & other grains to produce fuel - thus being one of the key root causes of grain prices going up 400% the last 7 years.
1 Timothy 6:10 For the love of money is the root of all evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows.
a very excellent & timely quote. this verse has been interpreted for centuries that in 'end times' things will be arranged so that what the poor need to survive on daily basis gets very expensive while the things the rich typically consume do not increase in price in that manner.
1 Timothy 6:10 For the love of money is the root of all evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows.
It seems to be heading that way, doesn't it?
Sounds like the Potato Famine in Ireland, when wheat and other grains were being exported to England and other countries.
To reason, indeed, he was not in the habit of attending. His mode of arguing, if it is to be so called, was one not uncommon among dull and stubborn persons, who are accustomed to be surrounded by their inferiors. He asserted a proposition; and, as often as wiser people ventured respectfully to show that it was erroneous, he asserted it again, in exactly the same words, and conceived that, by doing so, he at once disposed of all objections. - Macaulay, "History of England," Vol. 1, Chapter 6, on James II.
bump that
'Individuals should not take responsibility for their own defense. That’s what the police are for. ... If I oppose individuals defending themselves, I have to support police defending them. I have to support a police state.”' Alan Dershowitz
where there were no famines
'Individuals should not take responsibility for their own defense. That’s what the police are for. ... If I oppose individuals defending themselves, I have to support police defending them. I have to support a police state.”' Alan Dershowitz
Blackwater will come in handy during any food riots here.
'Individuals should not take responsibility for their own defense. That’s what the police are for. ... If I oppose individuals defending themselves, I have to support police defending them. I have to support a police state.”' Alan Dershowitz
Holy shiite.
The U.S. Constitution is no impediment to our form of government.--PJ O'Rourke
Analysts say that while bilateral agreements could help secure supplies, prices are likely to be at market prices rather than discount levels.
#2. To: robin (#1)
#3. To: aristeides (#0)
#4. To: Sam Houston (#3)
It's going to take quite a while for the famine to make a dent in the widespread (pun intended) corpulence of this region.
#5. To: robin (#1)
Remember...G-d saved more animals than people on the ark. www.siameserescue.org
#6. To: aristeides (#0)
#7. To: who knows what evil (#5)
Revelation 6:6
#8. To: Red Jones (#7)
Remember...G-d saved more animals than people on the ark. www.siameserescue.org
#9. To: Red Jones (#6)
#10. To: who knows what evil (#5)
"And I heard a voice in the midst of the four living creatures saying 'A quart of wheat for a denarius, and three quarts of barley for a denarius, and do not harm the oil and the wine.'"
#11. To: aristeides (#9)
Sounds like the Potato Famine in Ireland, when wheat and other grains were being exported to England and other countries.
#12. To: All (#11)
#13. To: aristeides (#0)
Food prices have risen on average by 45 per cent since last summer, according to the United Nations’ FAO. The cost of wheat, rice, corn and vegetable oil have all hit records this year.
#14. To: aristeides (#0)
Top • Page Up • Full Thread • Page Down • Bottom/Latest