I'm sure everyone has noticed that food prices especially for essentials such as rice and bread globally has increased substantially. Most analysts in the world will blame it on the world's growing population (increasing demand) and the drought season which is affecting countries such as Russia and Ukraine which produces about 90 million tonnes of wheat annually which represents about 14% of the total wheat globally (less supply).
From my analysis, These are nothing but excuses to justify farmers and exporter's greed for higher profits.There's no doubt that the global population is growing with Asia and Africa leading the chart. These are also continents with the highest poverty rates followed by Latin America. Keeping in mind that China and India are the largest producers of wheat and grain in the world according to FAO and yet poverty rates are increasing in these two countries. So who are these two countries feeding since obviously they are not feeding themselves?
The answer is clearly exporters favorite markets; the rich countries of Europe and North America as they fetch a much better price in addition to the currency high conversions. So who is taking care of Africa? They lack everything your mind can think of. They don't have a strong currency which countries such as Kuwait, Jordan and Singapore enjoy. To make matters worse, their inflation is rising faster than any developed nation which means that the standard of survival is getting even higher especially when Russia, the 4th largest producer of wheat halted its exports due to local shortage which translates to less global supply which will ultimately drive prices even higher.
As it is, some people in Africa are surviving on three meals a week. So how in the world are they going to even survive since prices are rising faster than a rocket which drives inflation up since their currencies are weak and they earn less than a dollar a day?
From my analysis, These are nothing but excuses to justify farmers and exporter's greed for higher profits.There's no doubt that the global population is growing with Asia and Africa leading the chart. These are also continents with the highest poverty rates followed by Latin America. Keeping in mind that China and India are the largest producers of wheat and grain in the world according to FAO and yet poverty rates are increasing in these two countries. So who are these two countries feeding since obviously they are not feeding themselves?
The answer is clearly exporters favorite markets; the rich countries of Europe and North America as they fetch a much better price in addition to the currency high conversions. So who is taking care of Africa? They lack everything your mind can think of. They don't have a strong currency which countries such as Kuwait, Jordan and Singapore enjoy. To make matters worse, their inflation is rising faster than any developed nation which means that the standard of survival is getting even higher especially when Russia, the 4th largest producer of wheat halted its exports due to local shortage which translates to less global supply which will ultimately drive prices even higher.
As it is, some people in Africa are surviving on three meals a week. So how in the world are they going to even survive since prices are rising faster than a rocket which drives inflation up since their currencies are weak and they earn less than a dollar a day?
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