PARIS—Agriculture ministers from the G-20 countries on June 23 agreed to an action plan aimed at stabilizing food prices and increasing food production that calls for establishing an international information sharing scheme to ensure transparency in agricultural markets.
Global food prices reached a record high in December 2010, outpacing 2008 levels that prompted riots in 61 countries, according to a new “Crop Prospects and Food Situation" report from the United Nation’s Food and Agriculture Organization (FAO). FAO estimated that global food production will have to increase at least 70 percent by 2050 as the world population expands to 9.1 billion from about 6.8 billion last year.
The Agricultural Market Information System will help clarify the supply and demand balance in the food market, according to the action plan. Member countries will utilize the system to collect reliable inventory and other relevant information on major crops to help prevent price rises stemming from concerns about supply shortages.
Under the deal, the G-20 also agreed to exclude humanitarian aid from export restrictions, and explore the implementation of humanitarian food aid stocks.
Commenting on the agreement, USDA Agriculture Secretary Tom Vilsack said: "The consensus reached today by the G-20 Agricultural Ministers marks an historic union of resolve in combating the pressing challenges of hunger and food price volatility confronting our world with greater regularity. Together, the G-20 nations are committed to increasing agricultural production through use of improved practices and technologies and a commitment to new and expanded research and development. To that end, we support the launch of an International Research Initiative for Wheat Improvement to help nations coordinate research efforts on this crucial staple crop.
"Moreover, we recognize the need for participation in global agricultural monitoring systems and early warning systems to improve crop production projections and weather forecasting, and we call upon international organizations to create links between existing global, regional and national systems. The need for market transparency and consistency with science-based rule-making systems among our nations and the international community is stronger than ever. Purposefully then, we support establishing the groundwork for an international agricultural market information system, or AMIS, that if fully supported and utilized, will mitigate volatility and reduce market distorting signals by promoting greater shared understanding of food production and price information."
G-20 Agriculture Ministers are not the only ones tacking food insecurity. In March 2011, Climate Change and Agricultural Food Security (CCAFS) formally launched the Commission on Sustainable Agriculture and Climate, a 10-year initiative to overcome the threats to agriculture and food security in a changing climate by exploring new ways of helping vulnerable rural communities adjust to global changes in climate.
The Commission plans to build international consensus on a clear set of policy actions to help global agriculture adapt to climate change, achieve food security and reduce poverty and greenhouse gas emissions. It will deliver its findings for use by decision makers on climate change and agriculture policies by December 2011.
In January 2011, the Food and Agriculture Organization (FAO) of the United Nations published an updated guide to help policy-makers in developing country address the negative impacts of high food prices. The guide, “FAO’s Initiative on Soaring Food Prices: Guide for Policy and Programmatic Actions at Country Level to Address High Food Prices," advises countries to carefully examine the implications of high food prices and not to take any policy actions that might appear useful in the short term but could have harmful, longer-term effects or even aggravate the situation.
