When you have weird policy decisions in the United States that then ripple out throughout the world, the rest of the world really takes it on the chin. When the U.S. decides to set their corn on fire rather than to eat it, which is what the biofuels policy basically is - then that drives up the price of corn. It drives up the price of substitutes. And all of a sudden you have a sort of spiral of food prices. And other countries don't have the resources, because they're not allowed to, to weather the storm.
Raj PatelIndia has the largest number of hungry people. Yet it's an outcome of precisely the same mechanism. It's the control of agriculture that drives down the price it paid for food that it buys from farmers, who are the poorest people. Then you're paying very little for food. You're underpaying the poorest people in any society. Then they're marketing to us the things that are most profitable to them. And those are the things that are packaged and processed and what-have-you. That means you have the simple thing of the explosion of obesity and hunger as a result of capitalism in our food system.
Raj PatelThe food shortages and high prices have certainly sparked the world media's attention, particularly since they're coming in such diverse places, being everywhere from Haiti, to Senegal, to Bangladesh, to Egypt - a range of countries. That sort of caught the media off guard, and serves the media's prurient interests insofar as "it bleeds, and so it leads".
Raj PatelWe have the industrial agriculturalists who try and make an argument that big is beautiful. But if you do the math, and particularly if you factor in that the price of oil is going to go through the roof, and so the price of transportation is going to go through the roof - making it abundantly clear that it's out of whack. The efficiency arguments are already crumbling, particularly if you actually include the cost of food pollution that these industries cause. They are tremendously unsustainable and tremendously inefficient.
Raj PatelExporters monitor economic and political policies to the developing world, but the consequences of that have been to make developing countries far more sensitive to the constant fluctuations. Developing countries are not always allowed to support their farmers in the same way as the U.S. or Europe is. They're not allowed to have tariff barriers. They're forced, more or less, to shrink their social programs. The very poorest people have fewer and fewer entitlements. The consequence of this has been that there's been a chronic increase in the vulnerability of those economies to price shocks.
Raj Patel