Could help the world’s rural poor
The increase in world agriculture prices caused by the global boom in biofuels could benefit many of the world’s rural poor—one of many conclusions of a landmark new 450-page book, Biofuels for Transport: Global Potential and Implications for Energy and Agriculture, authored by Worldwatch and published by Earthscan.
“Decades of declining agricultural prices have been reversed thanks to the growing use of biofuels,” says Christopher Flavin, president of the Worldwatch Institute. “Farmers in some of the poorest nations have been decimated by U.S. and European subsidies to crops such as corn, cotton, and sugar. Today’s higher prices may allow them to sell their crops at a decent price, but major agriculture reforms and infrastructure development will be needed to ensure that the increased benefits go to the world’s 800 million undernourished people, most of whom live in rural areas.”
Biofuels for Transport, undertaken with support from the German Ministry of Food, Agriculture and Consumer Protection, assesses the range of “sustainability” issues the biofuels industry will present in the years ahead, ranging from implications for the global climate and water resources to biological diversity and the world’s poor.
The book finds that rising food prices are a hardship for some urban poor, who will need increased assistance from the World Food Programme and other relief efforts. However, it notes that the central cause of food scarcity is poverty, and seeking food security by driving agricultural prices ever lower will hurt more people than it helps.
Growth in biofuels production may have unexpected economic benefits, according to the experts who contributed to the report. Of the 47 poorest countries, 38 are net importers of oil and 25 import all of their oil; for these nations, the tripling in oil prices has been an economic disaster. But nations that develop domestic biofuels industries will be able to purchase fuel from their own farmers rather than spending scarce foreign exchange on imported oil.
World biofuels production rose 28% to 44bn ltrs in 2006, according to the figures compiled since research on Biofuels for Transport was completed; fuel ethanol was up 22% and biodiesel rose 80%. Although biofuels comprise less than 1% of the global liquid fuel supply, the surge in production of biofuels in 2006 met 17% of the increase in supply of all liquid fuels worldwide last year.
The book recommends policies that protect natural resources and support a speedy transition to improved biofuels technologies. Freer trade in biofuels should be coupled with social and environmental certification and a credible system to certify compliance.
Biofuels alone will not solve the world’s transportation-related energy problems,the authors conclude. Development must occur within the context of a transition to a more efficient, less polluting and more diversified global transport sector. They must be part of a portfolio of options that includes dramatic improvements in vehicle fuel economy, investment in public transportation, and better urban planning.”
More information: www.earthscan.co.uk