Analysis on rice crisis
In view of the current rice crisis, this video (found on youtube) interviews an expert and he analyses on the increase in price of rices:URL: http://www.youtube.com/watch?v=b2ebJkII654
Some of the points raised:
- Top country exporters like China (world second largest exporter) and Vietnam are holding back stocks of rice to prevent a local crisis (meaning to prevent shortage of rice within their own country)
- There is also an overall increase in demand for rice and rice prices have increased about 20%
- Inflation reasons
- Increases in price of grains such as wheat and corn leads to increase in prices for diary products and meat (derived demand)
Food for thought:
- No regulation and intervention by international bodies (such as WTO?) on countries restricting their exports
- Why the increase in prices of rice? What about other staple food? (close substitutes of rice)
Pang Wei Pin
19 May 2008
posted by frog11152 @ 1:48 AM
Comments: 0
