Rice prices in Thailand, the world’s top exporter, surged to $1,000 a tonne on Thursday, feeding concerns about food security as far as the United States after export curbs by governments worldwide.
The surging price of food and fuel has sparked riots in Africa and Haiti and raised fears that millions of the world’s poor will struggle to feed themselves. Some analysts, however, attribute much of the surge to panic buying by both consumers and governments rather than a dire shortage of supply.
After this week’s over five percent jump rice prices stand nearly three times higher than the start of the year. With no sign of the rally relenting, as traders expect more buyers to come into the market, government anxiety about social unrest from the soaring cost of Asia’s staple will deepen.
For whoever is interested (and to be honest everyone should be), there’s a rather more penetrating article about the global food situation in The Economist. They had some more coverage a few months ago under the headline “The end of cheap food”. We may be in for interesting times as we discover the limits of economic growth as a panacaea for disadvantage and poverty, and need to turn to more biblical models for solidarity with our neighbour. Or perhaps decline to do so.
Ready for the next new world order?