Chapter 308: A looming food crisis
In the face of irrefutable data, Jiagu Agriculture and Animal Husbandry made a decision to "reduce the piglet herd and expand production cautiously" for pig breeding. Look.Mao.Line.Chinese.Text.Net
Next is the key topic of the meeting, how to go to the next stage of Jiagu's road.
Ding Xian opened an LCD color TV embedded in the background wall of the conference room, and on the screen was the news of the international channel, which contained various edited reports on the international grain market.
First of all, the chairman of Cargill, one of the four major grain merchants, was interviewed, and he said with a very calm expression that Cargill does not approve of the use of food for human hunger to be burned.
"As leaders, we should ask ourselves this question: What price are we ready to make the world's poor pay for food? As a developed society, we will be able to produce both food and renewable fuels, but what does that mean for those who can afford it? As a responsible society, we need to think and plan carefully as we continue to face the challenge of providing food in a world with an ever-expanding population. ”
Before anyone could comment on Cargill's chairman's remarks, Ding Xian added with a blank face: "While opposing the 'use of food for burning', Cargill is spending $1 billion to expand its biofuel industry around the world." Once again, it shows us that rhetoric in the face of the media and pragmatism as a company are actually two different things. ”
There was a chuckle in the room.
Ding Xian continued: "A similar scene also happened in China, because last year's international food prices soared, the state issued a notice, emphasizing that all vehicle ethanol projects that were approved in violation of regulations and started construction without authorization were not entitled to financial subsidies. However, the National Grain Group took this opportunity to enter the fuel ethanol industry in a high-profile manner. ”
Immediately afterwards, Ding Xian switched channels, and another scene appeared on the color TV. Look at 'Mao's line, Chinese, and net
"Soaring international food prices have become a problem plaguing the world, with serious implications for the world economy and global security. Since the end of 2007, people in Mexico have demonstrated over the rise in corn prices, Indonesians have taken to the streets in protest over record soybean prices, Pakistan has been in protest due to wheat shortages, Somalia, Sudan and Cameroon have caused social unrest over rising food prices, and citizens in Italy have demonstrated against rising food prices...... The Food and Agriculture Organization of the United Nations (FAO) has warned that 36 countries will face food shortages this year. ”
There was silence in the conference room.
Ding Xian turned his head and said in a deep voice: "Ladies and gentlemen, a 'silent tsunami' is coming unexpectedly, this is the world food crisis. ”
"On the one hand, the production of biofuels from food has led to a surge in food prices, and on the other hand, there has been active speculation in the buying and selling of food, and food has become the new puppet in the hands of speculative capital, after oil. They have made a lot of money by taking advantage of the decline in world food stocks and the increase in demand. ”
Speaking of this, Ding Xian paused.
They exchanged a knowing look - the Jiagu system's Assassin Fund in the United States also played a role in making waves.
Ding Xian coughed lightly and said calmly: "In the face of rising grain prices in the international market, countries have increasingly adopted strict grain import and export control. Since December last year, China has abolished export tax rebates for wheat, rice, rice, corn, soybeans, and other raw grains and their milling; since January this year, the administration of export licenses has been implemented. ”
"Historically, we have received two types of signals about the food problem: one by statistics and scientists telling us that we must pay attention to the food problem and that there may be a crisis if it is not in a good situation, and the other by economists telling us that the price information proves that the so-called food crisis is a complete myth. ”
"Of course, the international situation is not our turn to worry about, but this issue is in our vital interests. ”
"If the shadow of the food crisis persists, of course we need to increase investment in food production, and if the food crisis is the result of hype, we can consider increasing investment in cash crop production. ”
There was a lot of talking.
Qi Zheng interjected: "The mouth of an economist, a deceitful ghost!"
The crowd burst into laughter.
Ding Xian couldn't help but smile and said: "Actually, it's not without basis, if you look at it purely from the data, in fact, the current world food production is enough to feed 10 billion people." It may sound ridiculous: we actually produce too much food. ”
Xie Kaiji of Jiagu Agriculture asked: "Isn't there a world food crisis?"
Ding Xian restrained his smile, nodded and said, "This is the crux of the matter." ”
"Aside from waste, not all food is for people to eat. A large part of world food production goes to the production of livestock, feed and bioenergy. ”
"Studies have shown that it takes about 8 kg of cereal feed to produce 1 kg of beef, i.e. 1:8, pork about 1:3 and chicken about 1:2. As the consumption of meat products in developing countries increases, the demand for feed grains has ballooned. ”
"As you've seen in bioenergy, 25 percent of the corn produced in the U.S. last year went into ethanol, and Europe spends as much food each year to make biofuels as the U.S. does. In Europe and the United States, 'machine food' is equivalent to the food ration of 500 million people. In response, UN officials have slammed the use of food to produce fuel as a crime against humanity. ”
But the world is so cruel: the world's 800 million motorists and 2 billion poor people compete on a large scale for food, and the motorists want to get their cars moving, while the poor people just want to eat and survive.
But as economists say, the result of market regulation is that the rich man's gas tank and the poor man's stomach are not at all "equal opportunity." The survival needs of the 2 billion poor people can only be reduced to "ineffective needs" due to the lack of banknote support.
Qi Zheng leaned back and sighed: "I am fortunate to be born in China!"
Ding Xian agreed: "That's right, fortunately, our country has guaranteed self-sufficiency in food!"
Xie Kaiji asked again: "So, the food crisis is not hype?"
Ding Xian nodded and said, "Although in absolute terms, the food crisis should not exist. But in this market-oriented society, the hidden danger of food crisis is everywhere. Those who claim that the market is the best tool for regulation, uh, mostly so-called economists, are actually artificially creating market anomalies. ”
"Especially in our country, because of the huge population base, if all rely on marketization, it will inevitably impact the entire grain trade structure. Therefore, the tight relationship between domestic grain supply and demand will persist for a long time. Whether it is for its own interests, or for the country and the people, Jiagu, which is based on the country, should and must increase investment in grain production. The international market has taught us a lesson, and this should be a long-term strategy of the Jiagu system. ”
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