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G8 Countries Use of Food as a Fuel Could Feed 441 Million People

Discussion in 'BBS Hangout: Debate & Discussion' started by Cohete Rojo, May 1, 2013.

  1. Cohete Rojo

    Cohete Rojo Contributing Member

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    Agriculture products have more uses than just food and one of them is use as a fuel.

    From Big Picture Agriculture blog:

    Link to original report: http://www.actionaid.org.uk/doc_lib/fuelling_hunger.pdf

    Is it worth subsidizing ethanol to replace MTBE in gasoline under the apparent guise of reducing man-made climate change, or for whatever reason such a subsidy exists? Not all food derived fuel is for ethanol but it has had some impact on prices and consumption.
     
  2. Dairy Ashford

    Dairy Ashford Member

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    Maybe, but commercial food consumption doesn't have the levels of demand (both the desire and ability) to purchase that extra volume at profitable levels for farmers' extra production costs. Fuel grain gets consumed immediately in another commercial process that itself is profitable enough for the purchasers to pay similar pricing and subsidize the additional supply. Rotting, unwanted retail inventory in grain elevators or wholesale distribution centers doesn't.
     
  3. rage

    rage Member

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    If I remember correctly, it's not the production of food, it's the transportation to get it to the right people at the right time, all the time.
     
  4. Mr. Clutch

    Mr. Clutch Contributing Member

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    Thanks, environmentalists.
     
  5. RedRedemption

    RedRedemption Contributing Member

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    If you are not subsidizing it then there is not enough incentive to produce that many.
    People are forgetting that there is no such thing as charity (outside of giving away of personal wealth) in the free market in relation to businesses.
    The existence of the subsidy itself means that incentive to produce is already low.
     

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