The food crisis: flustered over food "wild"

Since last year, Russia, a major grain exporter, has imposed a ban on wheat exports, many countries in the world have devoted enough efforts to importing and exporting food. Some have followed the example of Russia’s ban on food exports and some have removed food import tariffs to ensure the country’s food supply. A "grab-up" turmoil was set off in most parts of the world. Analysts believe that the fear of food supply by countries is far more “terrible” than the grain shortage itself.

In the latest data released by the Food and Agriculture Organization of the United Nations (FAO), the global food price index rose for eight consecutive months in February this year, an increase of 2.2% from January, reaching the highest level since the food crisis in 2008. World Bank President Robert Zoellick warned that global food prices have reached a "dangerous level", and last year food prices rose by 29%, close to the highest level in history.

Since last year, the discussion on a new round of "food crisis" in the world has already begun. At the beginning of this year, global food prices continued their upward trend last year. Due to the extreme weather in major grain-producing regions of the world, the food supply gap is expected to increase.

Although the controversy over whether the "food crisis" will come will continue, but countries have quietly launched a round of "grabbing grain" action. Analysts believe that the fear of food supply by countries is far more “terrible” than the grain shortage itself.

Countries launch "grab-grabbing" action Large-scale grain exporters Russia began implementing the ban on wheat exports in August last year, and so far there is no clear news of lifting the ban. In February of this year, an official in Russia stated that if Russia's grain production can reach 80 million to 85 million tons as expected before the end of the spring, Russia will consider lifting the ban on grain exports in March.

However, Reuters also released news that the Russian Deputy Prime Minister Viktor Zubkov once said on March 2 that the expiration time of the export ban may be extended from July of this year to the end of the year. As a result, countries have so far been unable to report much hope on Russia, an important wheat producing region.

Considering the impact of the flood on the wheat producing areas in northeastern Australia, the European Union voted in February this year to temporarily eliminate import tariffs on feed wheat and reduce imports of Australian wheat. At present, the import tariff for feed wheat in Europe is 12 euros per tonne, and the import duty for feed barley is 16 euros per tonne. In addition, the zero tariff policy will apply to half of the EU's annual tariff quota of 2,989,240 tons of low-quality wheat and feed barley quota of 306,214 tons.

It is understood that EU officials have approved the Commission’s previous proposal to reduce import tariffs and decided to temporarily cancel import tariffs on feed wheat and feed barley from the end of February this year to June 30.

South Korea's food supply has always depended on imports. At the end of February this year, South Korea formally announced that it would lower import tariffs on corn, soybean meal and other 32 varieties of goods to ensure that the Korean market supply and curb inflation. The Ministry of Planning and Finance of South Korea stated in the statement that the reduction of tariff is one of a series of measures that will be launched in early March of this year.

An official in South Korea stated that about 2.2 million tons of corn and 2.7 million tons of soybean meal will enjoy zero-tariff imports. By the end of this year, the 1% import tariff on soybeans for food processing and corn and feed will be reduced to zero.

In addition, some developing countries have also reduced or even eliminated grain import tariffs. It is reported that Indonesia will gradually cancel the import tariffs on wheat and soybeans. Before this, the Ministry of Finance of Indonesia decided to cancel the rice import tariffs to ease the rising trend of domestic food prices.

China's grain tariffs are "not fixed"

Although the domestic import tariffs on soybeans and other agricultural products have more calls for reduction, according to the current situation of China's grain supply, it is not necessary to increase the grain import volume by lowering the grain import tariff.

According to industry data, in 2011/12, China's wheat production was about 114 million tons, and the total import volume was about 2 million tons. The opening stock was about 54 million tons, and the total domestic supply was about 170 million tons. The total domestic wheat consumption was about At 115 million tons, the current period ending stocks were approximately 55 million tons, and the food safety coefficient was 47.97%, which was the highest level in four years, far higher than the world's recognized safety level of 17% to 18%.

Nie Zhenbang, director of the National Grain Administration of China, said in an interview with the media that at present, China's food security is completely guaranteed. In 2010, China's grain harvested a bumper harvest, and total grain output hit a record high. Consumption continued to grow steadily, and the total production and demand was basically balanced.

Under the basic balance of production and demand, experts analyzed that China has no need to adjust import tariffs on food, and it will not join the army of global "grabbing grain."

FAO: China's experience is worth learning. Abdulissa Abbasan, a senior food analysis expert at the FAO, believes that measures such as grain export bans and cancellation of import tariffs should not be encouraged. Although these measures may help curb inflation in the country in the short term, they will further push up global food prices. Moreover, in the end this method will also have an impact on the local farmers. If the price of food in the country remains at a low level, although the prices in the world market are high, farmers still lack the incentive to increase production, and this will invalidate market regulation.

According to the People's Daily, at the International Symposium on Coping with High Food Prices in the Asia-Pacific Region held on March 9th, FAO Assistant Director-General and Regional Representative for Asia and the Pacific, Shinyuma Komatsu, stated: “As the international food price keeps rising, China continues The increase in grain production for many years, and the availability of sufficient stocks and supplies have made significant contributions to stabilizing the international food market. China's experience in safeguarding food security is worth learning from.”

Xiaonuma also stressed that the fundamental solution to maintaining stable food prices is that all countries should pay attention to grain production and increase investment in agriculture. At the same time, he said: "China has adopted the right policies and measures and has provided a lot of assistance and support for food production in many developing countries through multilateral and bilateral channels in the context of self-reliance on safeguarding domestic food supply. FAO highly appreciates this. ."

At the seminar, the person in charge of the International Department of the Ministry of Agriculture stated that last year, China’s grain imports accounted for only 1% of the total consumption. Only individual grain varieties need to be imported to adjust the deficits, and the current grain inventory has reached annual consumption. 40% of the volume is much higher than internationally accepted standards. In front of a series of figures, participants said that China’s food supply is sufficient and will not bring negative impact on the international food market. This is a great boon to the rising world food market.