July 8, 2008

Food prices increasing due to bio fuels

When bio fuels first started appearing they were greeted as the next greatest thing to hit the automotive world. But as this new form of making our fuel resources last longer has become popular, there are now concerns that maybe bio fuels aren’t as great as we first thought.

Environmental campaigners are now claiming that the increase in the production of bio fuels has actually caused a seventy five increase in food prices. This is something that we have all noticed in this country, but in countries where the people were simply surviving they are in an impossible position.

Most countries have the standard shopping basket of food which is how they gauge the food prices. The price of this food basket has risen by a hundred and forty per cent since 2002, it is recognised that there has been an increase in fertiliser and energy costs, but this only accounts for fifteen per cent, while the other seventy five per cent is down to the production of bio fuels.

Source [Telegraph]