Saturday, July 28, 2012

In time of drought, China reaches out to Ukraine to guarantee food supplies

The worst drought in half a century is hitting corn and wheat harvests in the United States, the world’s largest food exporter.  So China, a major food importer, is turning to a new source of supply -- Ukraine, a nation once known as the breadbasket of Europe.

The drought in the United States reinforces expert forecasts that world food supplies will steadily tighten this decade, and that prices will rise. When grain prices go up, so do the prices of bread, milk, eggs and meat. When that happened two years ago, riots broke out in Egypt and Mozambique.

By 2050, the world will have to produce 60 percent more food to meet demands from a world population that is expected to be bigger and richer.
In advance, China is reaching out to producers around the globe to guarantee future food supplies.

 A century ago, rich corn and wheat harvests made Ukraine...


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