http://www.granma.cu/ingles/international-i/31may-Biofuels.html

Havana.  May 31, 2012


Biofuels stealing food

Emilio Godoy

The food crisis, aggravated by the use of corn and other grains in ethanol 
production, was one of the central issues discussed May 17-18 in the Mexican 
capital by deputy ministers of agriculture from the G-20 industrialized and 
emerging countries.

This problem’s impact on humanity is analyzed in the report Biofueling Hunger: 
how U.S. corn ethanol policy is increasing food prices in Mexico, presented May 
16 and sponsored by the U.S. office of ActionAid International.

Timothy Wise, director of the Research and Policy Program at the Global 
Development and Environment Institute attached to Tufts University, told IPS 
that there have been very steep price rises (of food) since the end of 2000, 
repeated in 2007 and again in 2010 and 2011.

Wise, co-author of the report, stated that this coincided with ethanol 
expansion in the United States. What can be seen in Mexico is an increase in 
the price of corn tortillas, the country’s traditional food, the price of which 
has risen 60% since 2005.

Wise and co-author Marie Brill, Action Aid policy director, confirmed that, 
since 2005, Mexico has lost $250-500 million a year by importing the grain, due 
to high prices on the international market.

The 24-page report concludes that the expansion of biofuels is contributing to 
food insecurity in Mexico. Price increases associated with ethanol are 
negatively affecting consumers, especially those who lack food security and are 
not producers.

According to the U.S. Department of Agriculture, last year 53,302 million 
liters of corn ethanol was consumed in the country, with 40% of corn harvests 
directed to its production.

The United States, the largest producer and exporter of corn in the world, 
implements a tariff protection policy in favor of national biofuels, and gives 
producers subsidies and a mandate to mix gasoline with up to 10% ethanol.

Brill stated that the G-20 has to solve the food crisis. The 2011 summit 
addressed the situation, but it has to ignite the engines first. Mexico is an 
example of what is happening in other countries.

The leaders of the G-20, currently presided by Mexico, are to meet from June 
18-19 in the northwestern city of Los Cabos to draw up policies to resolve the 
economic-financial crisis affecting the North, food security, green growth and 
combating climate change.

This bloc unites the industrialized countries of the G-8 (Canada, France, 
Germany, Italy, Japan, Russia, the United Kingdom and the United States) with 
the European Union as such and emerging economies such as Argentina, Australia, 
Brazil, China, India, Indonesia, South Korea, Mexico, Saudi Arabia, South 
Africa and Turkey.

THE TROUBLES OF CORN

The planting of corn destined for biofuels began in the region in the mid-20th 
century and experienced a boom in the 1970s, when Latin American countries took 
off as suppliers of raw materials for the markets of industrialized nations and 
in response to the first major oil crisis.

In recent years, the development of certain mono-cultivations has mutated 
toward providing raw materials for the manufacture of fuels. The expansion of 
agricultural products to this end is also the result of the depletion of oil as 
an energy source and carbon dioxide contamination from the use of hydrocarbons, 
leading to global warming.

Corn is loaded with a symbolic power from Mexico to Nicaragua. The increase in 
channeling this grain into ethanol production is extremely strong, driven by 
high oil prices, Wise stated. 
 (Excerpts from IPS) 
 


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