Correlated markets – energy and food

  • Energy and global food production are intrinsically linked due to the highly energy dependent nature of food production. Strong correlations have been demonstrated previously. Volatile oil prices pose a considerable threat to an affordable, secure food
    supply.
  • For developing nations rising energy costs are compounded by agricultural policies of industrialised nations whose dumping of surplus product onto local markets exacerbates economic disparity.
  • With oil prices only expected to rise, the issue of increasing food costs is of tremendous concern.

For Government, the issues of increasing energy prices and agricultural policy are  intimately linked and given the complexity of the global food systems, consideration of the far reaching impacts of national policies will become increasingly imperative.

For more information: http://www.istockanalyst.com/finance/story/5615836/how-oil-prices-affect-the-price-of-food-uso-moo-dba-dbc-xle

About Hayley Shaw

Knowledge Exchange Manager at Cranfield University's Centre for Environmental Risks and Futures (CERF). Sharing the latest news from Cranfield, and insights from across the industry. All things risk, environment, and the future.
This entry was posted in Energy Supply and Demand and tagged , , , , . Bookmark the permalink.

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