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Alex.Evans-Global.Dashboard

Food summit: what’s the story?


Jun 3rd, 2008 3:05 PM UTC
By Alex.Evans-Global.Dashboard

A post by Alex Evans, cross-posted from his blog Global Dashboard.

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One of the catches with this week’s UN food summit is that it’s not immediately clear just what deal the various heads of state and ministers assembled here are supposed to cut – and that leaves the (hundreds of) journalists here looking for story angles. Look at some of the main issues at play in the food prices issue and you start to see their problem:

Humanitarian relief. The World Food Programme’s urgent appeal for $755m needed to keep feeding the 73 million people dependent on it for help has been making headlines all spring – but now the funding gap has been plugged, thanks to a half a billion dollar donation from Saudi Arabia.

(Incidentally, it’s a mystery on a par with the Marie Celeste as to why WFP didn’t wait until the summit to announce the cash. Here in Rome, it would have been the story from the summit. As it was, the news – announced late on a Friday afternoon – sank with hardly a trace. One leading food journalist I spoke to this morning said he didn’t get the press release until two days later. You couldn’t make it up…)

Trade. Numerous policymakers have pointed to the long term importance of trade reform, and pushing ahead with the Doha Development Round. But as far as this summit is concerned, that’s off the agenda, since the Doha Round has its own, separate, negotiations.

Changing diet patterns. The growth of a global middle class eating a grain-intensive western diet is the single biggest driver of rising prices, and as I noted in another post earlier today, it raises the awesomely complex and politically difficult question of fair shares. But there’s no chance of any substantive discussion of that here this week.

Investing in agricultural supply. Everyone agrees that a ‘new green revolution’, or whatever you want to call it, will be essential given that demand is set to rise 50% by 2030. But while the UN’s High Level Task Force sets out a strong analysis in its newly published paper on elements of a comprehensive strategy, it’s hard to see what actual deal this week’s summit could cut in this area. Admittedly, several countries are likely to announce major new funding commitments while they’re here. But the amounts will have to be very big to become the story of the week.

So what does that leave? If I worked for the UN Secretary-General, I’d be putting all of my effort into persuading one or two of the really big producers who’ve imposed export restrictions on crops – like India, Russia, Kazakhstan or Argentina – to announce an easing of those restrictions. That would mark an important step forward, and represent a triumph for the UN and its Secretary-General.

But without that, it looks like the story of the week is likely to be about biofuels – where it’s hard to see any great strides towards consensus being made here in Rome. On the contrary, with the US and Brazil defending biofuels to the hilt even as others (including FAO head Jacques Diouf) fire broadsides off against feeding crops to cars, the risk is of a damaging spat. That will make for a lively story, if it becomes the angle that journalists here go for – but could also lead to all sides entrenching their positions, which would be a Bad Thing.

-Alex Evans

Preview: Next Week’s Rome Food Summit


May 30th, 2008 10:52 AM UTC
By Alex.Evans-Global.Dashboard

A post by Alex Evans, cross-posted from his blog Global Dashboard.
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GlobalDashboardLogo Next week, the UN is holding a major summit on food security in Rome – I’ll be there throughout (and blogging regularly on what goes on). Ahead of the kick-off, I’ve updated the Global Dashboard page on where to get briefed on food prices, and put out a scene-setter press release through Chatham House that sets out a few thoughts on what the summit needs to achieve.

This week’s already seen a couple of new items on food prices that are worth a look, starting with a new annual FAO / OECD outlook report - which this year looks all the way out to 2017. It finds that although prices will come down in the short term (which you already knew, since you read it here on Global Dashboard on March 18th), nominal prices over the medium term will remain “substantially above” levels over the last ten years. In other words, it’s not just a blip.

Also worth a look is World Bank President Bob Zoellick’s ten point plan for food prices, published in the FT this morning. His article confirms that he’s well ahead of the curve on understanding the need for an integrated approach to scarcity issues:he says collective action is needed on “the interconnected challenges of energy, food and water [which will be] drivers of the world economy and security”. (I’ll be publishing a paper on how the multilateral system needs to be reformed to cope better with scarcity issues just before the G8 in early July.)

What will actually happen at the summit is currently anyone’s guess. It’s fair to say that FAO haven’t been very proactive in briefing the media on likely outcomes or what they’re hoping for, which puts them in the rather hazardous position of allowing high expectations to emerge without really managing them. Another risk is that a major spat over biofuels could erupt: Ahmadinejad and Chavez will both be at the food summit, and would like nothing better to embarrass the US over its support for ethanol – and while US subsidies for corn-based ethanol are certainly problematic, it’s hard to see these particular interlocutors opening up much political space on Capitol Hill as legislators contemplate the Farm Bill.

But on the upside, great progress has been made on financing the immediate humanitarian needs (after Saudi Arabia stunned everyone by coming up with half a billion dollars last week – a coup for WFP head Josette Sheeran and for UN Emergency Relief Coordinator Sir John Holmes, who’s invested much time encouraging Gulf countries to contribute). This, together with the prospect of some short term relief on prices, gives policymakers a chance to look ahead towards the longer term challenges as well as short term crisis management.

It’s also hard to remember a time when the UN system and the international financial institutions have worked together as closely or as effectively as they seem to have been doing on the UN’s food task force – a great story, given how fragmented the international system usually is, but one that’s gone largely unreported. Even so, the real work in pulling together the longer term agenda is still in front of us…

-Alex Evans

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