ASIA - Rice crisis falls hard on the fragile Asian economies, causing hunger and poverty

Monday, 14 April 2008

New Delhi (Agenzia Fides) - In the Asian countries, rice is the staple food source, especially among the millions of people that live on the border of survival. The crisis that is strongly affecting the continent due to the sharp rise (up to 75% increase) of food prices for the large population is an upset to the country, causing uncertainty and troubles in the economy and society of many Asian countries. In the continent as a whole, rice forms 40% of the calories consumed by the average individual, for a population of over 2.5 billion people. Asia consumes 80% of the rice in the world.
Those most concerned are the countries that import the product, as they could reach a moment where their food supply runs out, as it occurred in the 1976 crisis, above all caused by different phenomena in the atmosphere.
Many nations are already in a state of emergency and others are on the verge of such a situation. The Philippines, among the hardest hit nations, had hoped some weeks ago to have imported 500,000 tons of rice to feed its population and now the Church has also had to step in to help distribute the rice at a reasonable cost. In Bangladesh, in the aftermath of Cyclone Sidr, the situation worsened and the reserves were not enough. And while the importing countries of the Philippines, Bangladesh, Indonesia, North Korea, and Nepal are worried about the “food security,” the main suppliers like India and China want to reduce exports in order to maintain low prices within their own countries. In Vietnam, which is both a supplier and exporter, the price of rice has gone up 20%, while in India it has increased 50% of the minimum price of exported rice.
According to experts from the Asian Development Bank, the reasons behind the sudden rise in prices are many: scarce crops due to weather patterns, limited land for agricultural use, and the increasing use of grain in creating biological fuels.
Given the extent of the crisis, in addition to the emergency aid being offered by various governments, there is also intervention needed on a structural level in the international economy and in collaboration with institutions like the World Bank, WTO, and the International Monetary Fund. (PA) (Agenzia Fides 14/4/2008 righe 27, parole 377)


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