WorldWatch:

[Mustang Sally Farm]

OFC: Farmers Must Change Mind-set to Grow Food Sustainably
07 January 2014


UK - Farmers need a new mind set to be able to grow and produce food sustainably and profitably, writes Chris Harris, from the Oxford Farming Conference (OFC).

A new report for the Oxford Farming Conference produced by consultancy Bidwells says that the UK farming sector has to be more open to changes in land management and must not solely consider that farmers must own the land they farm.

The report says that a mind-set that is closed to new business structures, limited collaboration and a lack of investment in farm infrastructure is holding UK farming back.

In opening the conference co-chairman Adrian Ivory said that agriculture needs to play a part in the changing demographic of the world society that is seeing a larger population and changing eating habits.

In this relation the report produced for the conference Opportunity Agriculture: The Next Decade challenges farmers and farm business operators to think more widely about sources of capital and to explore agreements such as share farming or partnering with external investors.

“The context to this important research is that our farming sector has far-reaching opportunities, but it needs to adapt to profit from them,” said conference co-chairman Julian Gairdner.

He said that farm businesses need to adopt an openness and willingness to embrace change.

“It is likely that more transformation will happen in the UK farming industry in the next 10 years than we have seen in the past 50, so the industry needs to be prepared to adopt new systems, structures and partner investors, who understand agriculture.

“The report delivers some hard-hitting punches and, intentionally, it doesn’t hold back in spelling out the progress needed,” Mr Gairdner added.

The report says that farmers will need to look for alternatives to their tried and tested methods of food production.

It says that further decoupling of farm ownership from farm operation in the UK is inevitable.

The future profitability of farming will mean inter-farm collaboration on infrastructure such as buildings, roads, water systems in order to achieve sufficient capacity.

“Water security will be the key defining issue for food production in a decade’s time and farmers need to prepare for this,” said Ian Ashbridge the author of the report from Bidwells.

He warned that farming has to be allowed to access new technologies that will improve yields of key food crops and not fall victim to the same “Luddite attitudes as GM has”.

The report also calls for the farming sector to invest in people.

“The UK risks exporting its talent both in the science community and also in agricultural leadership and business management,” said Mr Ashbridge.



Chris Harris, Editor-in-Chief

[Mustang Sally Farm]

Food Waste Threat: Potential Nightmare to Livestock Industry
20 January 2014

AUSTRALIA - Victorian food outlets are supplying pig owners with food waste, putting Australia’s livestock industry at risk of contracting Foot & Mouth Disease (FMD), according to the Victorian Farmers Federation.

A recent Department of Environment and Primary Industries (DEPI) survey of 613 regional Victorian restaurants, hotels and other food outlets found 71 of them supplied their waste to pig owners.

“That’s 12 per cent of food outlets surveyed, which could mean there are hundreds of food outlets across Australia supplying their waste to pig and other livestock owners,” Victorian Farmers Federation Pigs president, John Bourke said.

“The risk is that a fair proportion of this food waste contains meat, which cannot be fed to pigs or other livestock. It’s called swill and anyone feeding it to livestock faces a $17,280 fine.”

But the fine is a pittance compared to the risk swill feeding poses to Australia’s pig, beef and sheep industries.

ABARES estimates an outbreak of the exotic FMD would cost the livestock industry $52 billion.

Australia’s livestock and meat exports would come to a grinding halt. Given we export 60 per cent of our livestock, the domestic market would be flooded with meat and prices would collapse.

Potentially thousands of livestock, on and around infected properties, would have to be slaughtered or vaccinated. Stock movements would be restricted and there’s no doubt consumers would panic, despite assurances that the meat was safe to eat.

“It’s a nightmare Australian livestock producers never want to face. But we can’t afford to close our eyes to the evidence DEPI’s latest survey has delivered to the industry,” Mr Bourke said.

“Some would say the risk of FMD contaminated meat or dairy product entering Australia and being fed to livestock is minute.

“But the improbable came close to the possible when a consignments of frozen uncooked meat products from FMD-affected South Korea, were found on Australian retailers’ shelves in 2011.”

The Australian Quarantine and Inspection Service discovered about 3000 tonnes of illegally imported uncooked and cooked pork, chicken and beef spring rolls and dim-sims had been shipped into Australia from South Korea for at least 12 months. This at a time when South Korea had just gone through another FMD outbreak.

The South Korean imports had already been distributed to food outlets before AQIS discovered the breach.

“It would have only taken one of these outlets to supply some out of date food waste to a pig producer to create Australia’s first FMD outbreak.

[Mustang Sally Farm]

How Big is Carbon Footprint of Food Waste?
14 February 2014

GLOBAL - The carbon footprint of worldwide food losses and food waste amounts to the equivalent of 3.3 giga tons of CO2 emissions.

Compared to the CO² emissions of individual countries this volume, which is the estimate produced by the FAO’s Food wastage footprint – impacts on natural resources, 2013 ranks third among the world’s biggest greenhouse gas emitters after China and the USA.

What this means in concrete terms is that the greenhouse gas associated with the production, processing, transport and storage of all non-consumed food corresponds to roughly half of what both China and the USA emit into the atmosphere each year, according to SAVE FOOD, a joint initiative of the Food and Agriculture Organisation of the United Nations (FAO) and Messe Düsseldorf GmbH.

For Germany this figure stands at approximately one giga ton - less than one third of all global emissions caused by food loss and waste.

By comparison the with 3.3 giga tons (billion tons) of food waste emissions, the greenhouse gas emissions associated with road traffic in all of the USA was 1.5 giga tons in 2010.

Broken down into food categories, cereals (at 34 per cent) account for the biggest share in greenhouse gas emissions caused by food loss and waste, followed by meat and vegetables at 21 per cent each.

At only five per cent, the percentage of meat in the total amount of food loss is far lower than that of cereals (25 per cent) and vegetables (below 25 per cent).

This means meat has a clearly bigger carbon-footprint, because it causes in excess of one fifth of greenhouse gas emissions.

In Germany the situation is similar. In North Rhine-Westphalia, for example, meat accounts for almost half the carbon footprint in the food value chain – while only accounting for about 10 per cent of total food waste volume, according to the Reduction of Food Waste study by Münster University of Applied Sciences in March 2012.

The main reasons for meat’s very large carbon footprint lie in the high levels of energy and resources needed to grow feed, in the machinery used for raising and transporting livestock, in refrigeration – and last but not least in the substantial CO2-emissions of ruminants.

This is also why cattle raising is considered particularly greenhouse-gas intensive, the campaign claims.

Losses and carbon footprints also vary across the various stages in the value chain. The highest losses occur in production whereas carbon footprint is at its largest in the consumption stage, according to the FAO’s Food wastage footprint – impacts on natural resources – also due to the energy required for storage and cooking in private households, restaurants, canteens and the like.

Greenhouse gas emitted in food manufacturing, transport and storage puts a burden on the environment.

But if this food then even perishes or is disposed of, these pollutants have been emitted to the atmosphere without any benefit.

Minimising waste and loss is therefore indispensable for these reasons alone. Add to this the fact that one in eight human beings on earth suffer from hunger while one third of all produced foodstuffs are not consumed.

Greenhouse gas emitted in food manufacturing, transport and storage puts a burden on the environment. But if this food then even perishes or is disposed of, these pollutants have been emitted to the atmosphere without any benefit.

Minimising waste and loss is therefore indispensable for these reasons alone. Add to this the fact that one in eight human beings on earth suffer from hunger while one third of all produced foodstuffs are not consumed.

The whole set of problems associated with food loss and waste will be on the agenda of the second international SAVE FOOD Congress in Düsseldorf from 7 to 8 May at the beginning of the Interpack trade fair.

[Mustang Sally Farm]

Long-term Support for Farming, Fishing Communities in the Philippines13 March 2014 PHILIPPINES - FAO Director-General José Graziano da Silva has witnessed the positive results of FAO's Typhoon Haiyan response programme and committed FAO to supporting the recovery of fishing and farming livelihoods in the longer term.Graziano da Silva travelled together with Secretary Proceso Alcala of the Philippine Department of Agriculture (DA) and the Philippine Permanent Representative to FAO, Ambassador Virgilio Reyes, to Basey, a municipality of Samar province, in the Eastern Visayas. Meeting with affected farmers and fishers, he handed over bags of fertilizer and tools and ate lunch with farmers supported by FAO. Making landfall four months ago, Typhoon Haiyan (locally known as Yolanda) claimed over 6 200 lives, displaced millions and devastated the agriculture and fisheries sectors. Striking between two planting seasons, the typhoon destroyed ready-to-harvest, harvested and newly planted rice crops, wiping out whole coastal communities and damaging or destroying some 33 million coconut trees. Collaborative efforts secured the harvest In the weeks immediately following the typhoon, FAO responded to an official Government request for support to affected rice farmers, providing 75 per cent of the Government-requested rice seeds. Thanks to a coordinated response by FAO, the Government and partners, farmers who would otherwise have been unable to plant in time for the December/January planting season were able to go back to their fields, and will soon be harvesting the first rice crop since the typhoon hit the country. Graziano da Silva visited flourishing rice fields planted with FAO rice seed and was thanked by Alcala for FAO's timely response and support to the Government, which enabled 44,000 farming families to restore their livelihoods by securing what would otherwise have been a lost harvest. To bolster FAO's, the government's and partners' rice seed distributions, FAO is distributing 4,000 tonnes of fertilizer to more than 80,000 families along with 13,000 farming tools which ensures planted rice seed can reach full production potential and produce an optimum yield, which, in turn, ensures food security and a full recovery. Graziano da Silva and Alcala personally handed over bags of fertilizer and hand tools to Ricardo Gula and Wilma Regala, two farmers supported by FAO from Barangay Canabay in Basey, Samar, some thirty minutes away from Tacloban. Asked by Graziano da Silva about the quality and quantity of the expected harvest, Ricardo Gula expressed his appreciation for FAO's support and said he was confident the high-yielding certified rice seeds' production would help his family to recover from the damage caused by the typhoon. "Once harvested in March/April of this year, the quality certified rice seed is expected to yield enough to feed around 800,000 people for more than a year. Our rapid response cost around $5 million and will yield $84 million in rice, providing real value for money to donors," said Mr Graziano da Silva. Fishing communities need immediate support With up to 400,000 fisherfolk impacted and an estimated 30,000 fishing vessels damaged or destroyed, the fisheries sector was one of the most severely affected. Estelita Taboy, representing one of the fishing communities in Basey, thanked FAO for the support received so far and added that "although the government has helped us to rebuild our boats, we still need fishing inputs, such as nets, hooks and cages that were all destroyed by the typhoon." "Supporting the recovery of fishing communities through boat rebuilding and the provision of key fishing inputs is another top priority," said Mr Graziano da Silva. Over lunch with farmers and fishers, he listened to their testimony on how they benefitted from FAO and the government's collaborative efforts and lauded the Filipinos' positive attitude in the face of recurring disasters. "We are committed to ensure that affected populations can build resilience to future disasters and make sure that when the next typhoon hits, they are able to build back better and safer," he added. Thanks to the generous donations of the governments of Belgium, Ireland, Italy, Norway and Switzerland FAO has to date mobilized $11.7 million as part of its component of the UN's Strategic Response Plan, around 31 per cent of the $38 million that it appealed for as part of it's response programme. Ongoing discussions with donors have resulted in total committed funds of more than $30 million. With these funds FAO aims to support 138,000 of the most affected farming and fishing households in the Philippines. FAO continues to advocate for urgent support to affected farmers and fishers and has received confirmation from several donors for significant additional funding that will enable it to deliver an effective and well funded response.

[Mustang Sally Farm]

EU Ag Sector Role in Economic Crisis Outlined at Major Conference
17 March 2014

EU - The agriculture sector is key for helping the EU survive the economic crisis, speakers at a high-level European conference on the future Common Agricultural Policy (CAP) said in Seville.

The Conference "The new CAP: Future for Farmers, Future for Society, organised by the Spanish Farm Organisation Asaja and co-partnered by Copa-Cogeca was attended by over 300 people across Europe.

Speaking at the event, the Regional Vice-Minister for Agriculture of Andalusia said "Agriculture has played a positive role in the economic crisis, with agriculture growth rising by eight per cent last year in Andalusia and exports good".

The CAP played a crucial role in facilitating this.

But speakers warned that the new CAP will be more complicated and red tape will increase in the future and support less.

"In particular, the greening measures under reform will be costly and agriculture production will be endangered which is especially worrying with food demand set to rise by 60 per cent by 2050", Copa Vice-President Harry Sinclair warned.

He consequently outlined ways to enable farmers to have a more viable future through green growth, with a more efficient use of resources. This means the huge potential of agriculture must be exploited, he said.

He pointed out that more money is available for agriculture research under Horizon 2020. But we have to ensure that knowledge is transfered to farmers to encourage the uptake of innovative solutions. For the implementation of innovative ideas at farm level, investment and modernisation measures are needed, he insisted.

Mr Sinclair went on to highlighted the need to strengthen farmers position in the food chain to get more income from the market, since they currently only get a fraction of the price of a product.

This was also highlighted by the Spanish Secretary-General Ms Isabel Garcia Tejerina for Agriculture and Food who insisted that agri-cooperatives need to be encouraged to enable farmers to better market their produce and get a better income from the market. All elements of the CAP must be used to improve the competitivity of the agriculture sector , she said. Farmers themselves also need to be more entrepreneurial and improve their positioning on the market.

Wrapping up, Asaja Sevilla President Mr Riccardo Serra Arias highlighted the importance of communicating to consumers the benefits of the CAP and of the work farmers do. He pointed out the success of this communication campaign The new CAP: Future for farmers, Future for society which included city farm events in Spain and Portugal, attracting over 300,000 visitors. After this conference, a final event will be held in Brussels in European Parliament on 24th March exhibiting photos which portray positive images of agriculture and show the crucial role farmers play in providing quality, healthy food and environmental services, maintaining rural areas, for society, thanks to the CAP.

A declaration was presented at the end of the conference outlining key ways to ensure a viable sector for farmers and society in the future.

[Mustang Sally Farm]

First Global Feed Sustainability Guidelines Released
18 March 2014

GLOBAL - The International Feed Industry Federation (IFIF) has announced the Global Feed Life Cycle Assessment (LCA) guidelines developed by the United Nations Food and Agriculture Organization (FAO)-led Livestock Environmental Assessment and Performance Partnership (LEAP) are now available for public review.

IFIF together with the American Feed Industry Association (AFIA) and the European Compound Feed Manufacturers’ Federation (FEFAC) is a founding member of LEAP, which aims to improve how the environmental impacts of the livestock industry are measured and assessed, an important step to reduce the impact of livestock products on the environment.

FEFAC and AFIA jointly developed Feed LCA recommendations as part of their LEAP contributions, and these form a significant part of the LEAP draft guidelines.

In less than two years, the LEAP partners were thus able develop a methodology that will introduce a harmonised, science-based, practical and international approach to the assessment of the environmental performance of feed supply chains, while taking into account the specificity of the diverse production systems that exist globally.

Mario Cutait, IFIF’s Chairman, said: “The sustainable development of global livestock production is one of the key priorities for IFIF. The LEAP guidelines are the first feed-specific LCA guidelines that reflect a consensus among partners in the multi-stakeholder process, including the FAO, national governments, private sector organizations as well as NGOs. IFIF welcomes these efforts, which represent an important step towards a globally harmonized industry standard for Feed LCA.”

AFIA’s President and CEO Joel G. Newman, commented: “With global supply chains, it is important to rely on globally harmonised metrics. The LEAP guidelines are a significant step forward to help feed companies to develop consistent and credible environmental assessments and therefore to reduce the environmental footprint of livestock products.”

FEFAC President Ruud Tijssens, added: “Common methodology for environmental footprinting is a pre-competitive issue and is part of our customer’s expectations.

“The main recommendations of the Product Environmental Footprint Guide developed by the European Commission were taken into account in the LEAP process. From a European perspective, this means the LEAP guidelines are the logical and relevant starting point to develop a standard aligned with the recommendations of the European Commission.”

The public review of the feed guidelines begins today and comments are welcome from interested parties until 31 July 2014.

[Mustang Sally Farm]

World Water Day: Agriculture and Water Inextricably Interlinked
21 March 2014

GLOBAL - This Saturday, 22 March, the world celebrates World Water Day. Water and agriculture are inextricably interlinked and interdependent. Agriculture is a major user of both ground and surface water for irrigation, accounting for about 70 per cent of water withdrawal worldwide.

Modern irrigation practices, including centre pivot irrigation systems, can help improve crop productivity and yields. Unfortunately, according to Food Tank, irrigation is also the source of excessive water depletion from aquifers, erosion and soil degradation. But using rainwater harvesting, zai pits, micro-irrigation, bottle irrigation, gravity drip buckets, rotational grazing systems and other water-saving practices can all help create diverse landscapes, supporting wildlife and culture.

According to the Organization for Economic Cooperation and Development (OECD), 47 per cent of the population could be living under severe water stress by 2050. “The world is thirsty because it is hungry,” reports the UN Food and Agriculture Organization (FAO). We each consume around 3,800 litres of water everyday and 92 per cent of that is used to produce the food we eat, making sustainable practices and reducing water consumption in food, also known as “virtual water,” even more necessary.

Europe uses, on average, 44 per cent of water for agricultural use. In the United States, agriculture accounts for around 80 per cent of consumptive water use. And in Western US States, such as California, over 90 per cent of water use is for agricultural purposes.

California is also facing the worst drought since records began, 100 years ago - approximately 95 per cent of the state remains in a drought, with about 23 per cent experiencing “exceptional” drought. The state also happens to be America’s breadbasket, supplying nearly half the country's fruits, nuts, and vegetables, and is a major producer of almonds, artichokes, grapes, olives and other products.

But all over the world, says Food Tank, farmers are using innovative practices to utilise water more efficiently and in lesser quantities to produce more nutritious foods. And eaters can profoundly reduce water waste and consumption through the food choices they make each day.

In Syria, in the four regions hit hardest by groundwater shortages, the FAO helped the Ministry of Agriculture improve irrigation technology and management techniques. The project benefited 2,750 farmers by providing drip irrigation systems and training farmers on their installation. Drip irrigation saves both water and fertiliser inputs by allowing water to drip slowly through a network of tubing to the roots of plants. And it’s something that can be used on both small large farms all over the world.

Drip irrigation was also introduced on Cape Verde, helping boost the island’s horticultural production from 5,700 tonnes to 17,000 tonnes over an eight year period. And now more than 20 per cent of the country’s irrigation has been converted to drip irrigation. Rethinking crop production has helped conserve water resources as well - farmers on the island converted their sugar cane plantations, which are water-intensive, to more diverse crop production, including cultivating peppers and tomatoes, that require less resources and are more suitable to the region’s climate.

In Israel and Spain, farmers have started re-using drainage water from urban areas mixed with groundwater for supplying water to crops. And in California agricultural waste water from irrigating crops is being reclaimed and treated for re-use, benefiting the environment by avoiding discharge of chemicals into surface water and helping retain soil nutrients by preventing them from being washed away with the run-off water.

Across India, the Watershed Organization Trust (WOTR) regenerates watershed communities by harvesting rain water, organising communities to sustainably manage the land, optimising irrigation, and planting crops based on water availability. WOTR has reached more than 300,000 people in 300 villages, rejuvenating 200,000 hectares of land.

Food Tank adds that consumers can all do their part to save water by incorporating more native foods into their diets, eating more locally grown foods and less meat, steaming vegetables rather than boiling them, reducing food waste, reconsidering lawn and garden irrigation methods, and supporting family farmers that use less water intensive practices.

On World Water Day this year, Food Tank will honour the projects, people, and programmes working tirelessly to achieve more with less water and creating innovative systems for the future.

[Mustang Sally Farm]

FAO Food Price Index up Sharply for Second Consecutive Month
03 April 2014

GLOBAL - The FAO Food Price Index averaged 212.8 points in March 2014, up 4.8 points, or 2.3 per cent, from February and the highest level since May 2013.

According to the FAO, last month’s increase was largely driven by unfavourable weather conditions affecting some crops and geopolitical tensions in the Black Sea region. Overall, except for the FAO Dairy Price Index, which fell for the first time in four months, all the other commodity price indices registered gains, with sugar and cereals increasing the most.

The FAO Cereal Price Index averaged 205.8 points in March, up as much as 10 points, or 5.2 per cent, from February, marking the second month of significant increases. While in March the Index rose to its highest value since August 2013, it remained well below (34.6 points or 14.4 per cent) its value in March 2013. Last month’s strength stemmed from a surge in wheat and maize prices reflecting a strong pace in grain imports, growing concerns over the effect of continued dryness in the south-central United States on winter wheat crops, and unfavourable weather in parts of Brazil. Geopolitical tensions in the Black Sea region, in particular uncertainties with regard to grain shipments from Ukraine, also provided a boost. Rice prices were generally stable.

The FAO Vegetable Oil Price Index averaged 204.8 points in March, up another 7 points (or 4.5 per cent) from February and the highest level in 18 months. The rise in the index mainly reflected a surge in palm oil, on continued concerns over the impact of protracted dry weather in Southeast Asia. Tight inventories in Malaysia and the prospect of rising domestic consumption in Indonesia, the top palm oil producer and exporter, contributed to the strengthening in palm oil values, as did reports about a possible El Niño weather event later this year. International prices for soy, sunflower and rape seed oil also firmed.

The FAO Dairy Price Index averaged 268.5 points in March, a fall of 6.9 points, or 2.5 per cent, over February. Demand for all dairy products has been affected by reduced purchases by China and uncertainty over trade with the Russian Federation. Additionally, an extended season in New Zealand and a good start to the dairy-year in the northern-hemisphere have meant that supplies for export have increased. The dairy commodity subject to the sharpest price drop was Whole Milk Powder, reflecting reduced buying interest from China, in particular.

The FAO Meat Price Index averaged 185 points in March, 2.7 points, or 1.5 per cent, above February. The main driver was higher bovine meat prices, which were associated with dry weather conditions affecting production in both Australia and the United States. Prices for pigmeat also rose, in part on concerns over the effect of Porcine Epidemic Diarrhea virus on export supplies in the United States. Prices of poultry and ovine meat were only slightly stronger.

The FAO Sugar Price Index averaged 253.9 points in March, up 18.5 points, or 7.9 per cent, from February. Sugar prices kept strengthening amid concerns of declining export availabilities from Brazil and Thailand, due to drought and reduced sugarcane output, respectively. The likelihood of sugar crops being adversely affected by El Niño later this year also contributed to the price surge.

[Mustang Sally Farm]

Plants Host Pathogenic Bacteria from Livestock Farming
11 April 2014

NETHERLANDS - Disease-causing bacteria resulting from livestock farming can contaminate food products and find their way to humans.

This occurs remarkably effectively via plants, which explains why recent outbreaks due to infection with EHEC and other E. coli and Salmonella strains are regularly attributed to the consumption of fresh vegetables. These are the findings of researchers from Wageningen UR (University & Research centre), who carried out a literature study on outbreaks like the EHEC one.

EHEC outbreak in Germany

In the spring of 2011 EHEC bacteria caused an outbreak in northern Germany. The source of infection, with an unusual variant of Escherichia coli, turned out to be fenugreek, a seed sprout many restaurants use to decorate food. This particular outbreak resulted in a number of deaths and led to numerous investigations into the relationship between these bacteria and the consumption of sprouted and seedling vegetables.

The research showed that the pathogens involved were remarkably good at surviving on products of plant origin. In other words, the ‘traditional’ route to humans via meats, eggs or dairy products must be extended to include plants and products containing plants. Even more worrying: these human pathogens can adapt themselves to plants and their direct environment without losing their ability to cause illness in humans.

Microorganisms on plants

Since the EHEC outbreak, almost 200 studies into its causes and background have been published. Researchers at Wageningen have summarised the results in a literature review, which has demonstrated that some pathogenic bacteria can reside in or on plants for long periods. This means a higher risk of transmission to humans.

The researchers believe these microorganisms survive such a long time on plants because they have acquired genes from other microorganisms – those that normally occur in the soil, in manure or in irrigation water. In particular, the researchers hold bacteriophages (virus-like particles that only infect bacteria) and plasmids (independent pieces of DNA present in bacteria) responsible for gene transmission to human pathogens on or in plants. More research is needed to confirm this suspicion.

Development of new detection systems

This new discovery is important for understanding how human pathogens adapt themselves to plants. A study of the transmitted genes in outbreak strains could lead to the development of new detection systems, and thus a quicker and more effective estimation of the risks to consumers. This would also ensure more accurate information is supplied during new outbreaks.

[Mustang Sally Farm]

Chinese Farm Produce Prices Continue to Fall25 April 2014 CHINA - The prices of major farm produce in China continued to fall last week according to a survey of 36 large and medium-sized cities conducted by the Ministry of Commerce, MOFCOM.Last week, vegetables in various regions went on the market in bulk, with the average wholesale prices of 18 vegetables going down 5.1 per cent compared with that of the previous week. The prices of cucumber, lettuce and oilseed rape decreased 14.9 per cent, 13.5 per cent and 9.9 per cent respectively week on week. The average wholesale prices of meat also fell, with the price of pork down 0.3 per cent from the previous week. The prices of beef and mutton dropped 0.2 per cent and 0.4 per cent respectively. The average wholesale prices of aquatic products decreased by 0.4 per cent, with the prices of small hairtail, large hairtail and chub moved down 1.7 per cent, 0.7 per cent and 0.6 per cent. The retail prices of grain and edible oil were stable with only a slight decline, with the prices of rice, flour and soy-bean oil remaining the same as those of the previous week. The prices of peanut oil and rapeseed oil went down 0.1 per cent. The retail prices of poultry and eggs saw ups and downs, with the price of chicken down 0.1 per cent and the price of eggs up 0.4 per cent.

[Mustang Sally Farm]

US$9.2 Billion Set Aside for Investment in Indian Agriculture
02 May 2014

INDIA - In order to develop agriculture infrastructure in the country, India has set aside US$9.2 billion to develop integrated schemes for agricultural marketing in the 12th plan period (2012-2017), writes Jagdish Kumar.

Under the plan, investments will be used for developing agriculture marketing infrastructure, secondary agriculture and policy for internal and external trade.

The funds will also be invested as per the recommendation of the Indian Planning Commission Working Group on Warehousing Development and Regulation, 35 million tonnes of storage capacities needs to be added during XII Plan period.

The investment will also be made on developing infrastructure for managing marketable surplus of agriculture, which includes horticulture as well as dairy, poultry, fishery, livestock and minor forest produce.

The government will also focus on promoting innovative and latest technologies in agricultural marketing infrastructure by encouraging private and cooperative sector investments.

Besides, storage, infrastructure will be developed for grading, standardisation and quality certification of agricultural produce so as to ensure a fair price to the farmers.

Apart from grading and quality certification of produce, government will also pledge financing and marketing credit, negotiable warehousing receipt system and promotion of forward and future markets to increase farmers’ income.

Of the funds set aside some will go in building integrated value chain that has been defined in agriculture marketing which will provide proper flow of subsidy to the entrepreneurs under the scheme.

The government’s main focus is providing agriculture marketing subsidies through transferring direct benefits to the farmers.

Another focus will be to push for pledge finance to the farmers to prevent them from distress sell and to keep their produce in the storage infrastructure and those farmers who will keep the produce in storage infrastructure will be eligible for pledge loan on hypothecation of their produce.

In order to discourage distress farmers, the scheme will provide small and marginal farmers with credit support if they have a Kisan (farmers) credit card.

The farmers will be encouraged to store their produce in warehouses against warehouse receipts to gain these benefits.

[Mustang Sally Farm]

China Consumer Prices up in April
09 May 2014

CHINA - China's consumer prices increased at a slower pace in April as the cost of fresh vegetables and pork both declined, official data showed on Friday.

The Consumer Price Index (CPI), a main gauge of inflation, increased 1.8 per cent year on year in April, down from 2.4 per cent in the previous month, according to the National Bureau of Statistics (NBS).

Slower increases in food prices were the main contributor to the lower CPI figure. Food prices increased 2.3 per cent year on year, down from 4.1 per cent in March.

Prices of pork, a staple of the Chinese diet, fell 7.2 per cent, dragging down the CPI by 0.21 per centage points. Prices for the whole meat and poultry category dipped 0.7 per cent, dragging down the CPI by 0.05 percentage points.

Fresh vegetable prices went down 7.9 per cent, pulling down the CPI figure by 0.28 percentage points, the NBS said.

[Mustang Sally Farm]

Ag Economist Offers Insights to Latest US Farm Bill
15 May 2014


Purdue News


US - A Purdue Extension agricultural economist has published two articles that include analysis of what the 2014 farm bill could mean for farmers and agriculture in the Midwest.

The articles, "What Will the 2014 Farm Bill Mean for Midwest Agriculture?" and "Beginning to Evaluate Choices in the Farm Bill," were authored by Roman Keeney and are available for download free of charge in the most recent edition of the Purdue Agricultural Economics Report.

The bill, formally named the Agriculture Act of 2014, was signed into law 7 February, but many of the law's specific rules are left to the US Department of Agriculture to interpret and implement. And while the new programmes outlined in the bill will apply to the 2014 crop, Dr Keeney said it's likely signups won't be available until late in 2014.

In his articles, Dr Keeney explains the ways the farm bill has changed agricultural policy, outlines the new farm revenue protection programmes and helps farmers start to evaluate their programme decisions.

"The new farm bill is a major overhaul of commodity policy in the United States," he said. "The articles provide an overview of those changes, introduce some of the decisions farmers will be making, and considers the continuing evolution of US agricultural policy."

One of the biggest changes farmers will see is the elimination of the longstanding direct and countercyclical payments system. Instead, lawmakers decided to offer farmers a more robust insurance and revenue protection system.

Part of what makes farmers' revenue protection programme decisions so important is that farmers are locked into their enrollment decisions for the five-year life of the farm bill, which runs through 2018.

The programmes they'll be offered:
•Price Loss Coverage (PLC), a price protection programme that triggers payments when market year average prices fall below target levels, which are called reference prices.
•Agricultural Risk Coverage County (ARC-C), a revenue protection programme that triggers payments when the county revenue per acre falls below a benchmark revenue guarantee per acre set for the county.
•Agricultural Risk Coverage Individual (ARC-I), a revenue protection programme that triggers payments when there is a revenue-per-acre shortfall on the individual farm that falls below a benchmark revenue guarantee per acre for that farm.

The decision is more in-depth than just selecting a programme per farm. Farmers will be able to enroll different commodities into different programmes. There also are some additional options available with all three programmes - all highlighted in Dr Keeney's articles.

The USDA is expected to have the remainder of the farm bill rules interpreted this summer, giving farmers time to learn more before they enter the enrollment period later this year.

[Mustang Sally Farm]

How Valuable are UN’s Food and Agriculture Business Principles?
20 May 2014


ANALYSIS - The United Nations six Food and Agriculture Business Principles that were launched this week, designed to help agricultural communities in underdeveloped and developing regions, in particular, produce food sustainably, while receiving general support, may not be the ultimate panacea the global leaders had hoped, writes Chris Harris.

An analysis of the proposals from the University of Wageningen points to some fundamental and elementary flaws and concerns in the way the principles have been presented and how these principles can be adopted by farming communities and implemented effectively.

The six principles cover:
•Minimising waste and pollution, protecting biodiversity and conservation and mitigating climate change
•Protecting smallholders and eradicating poverty, ensuring market access and fair mechanisms and emphasising a supply chain-wide approach
•Protecting smallholders and eradicating poverty and investing in local communities and protecting children
•Focusing on accountability and anticorruption, with a need for government involvement and a need for monitoring systems and standards
•Educating smallholders, investing in local communities and disseminating knowledge and creating sharing platforms
•Food safety and health care together with a change of food patterns and consumer behaviours and minimising waste and pollution.

However, the report from Herman Brouwer and Guan Schellekens from Wagineningen, Validating the Food and Agriculture Business Principles, says that while there is broad support for the principles “the high level language of the FAB Principles draws concerns from stakeholders regarding how they might be applied in implementation and actually translated into partnerships and enabling actions relevant for local situations”.

They call for greater clarity on what signing up to the principles actually means and requires.

“Do the FAB Principles call for endorsement, implementation, or advocacy?” the report’s authors say.

“A view on what adherence to the principles means, or could practically be, would be helpful to have in place when the Principles are adopted.”

The feedback from consultation has called for a number of changes and improvements. One of the main points is to broaden the focus of the principles to include forestry and fisheries.

The consultation also showed a desire to give just a prominent role to the consumption end of the food chain as the production end.

The criticisms said there was a need to work more on a waste reduction strategy to become more sustainable.

There were concerns that the principles could be used to isolate certain communities by taking them as single silos and not working together or with other similar initiatives.

“Generally, stakeholders mention the need to position the FAB Principles clearly in relation to other sustainable agriculture initiatives. This would help avoid confusion between initiatives, and make the FAB Principles more actionable in conjunction with other initiatives,” the Wagineningen report says.

“The feedback suggests that ongoing effort is needed to prioritize underrepresented stakeholder groups to achieve a better regional and industry balance in implementing the FAB Principles.”

The consultation suggestions called for the role of women in the agricultural communities to be considered in the report as well as the non-food industry in relation to food security.

The feedback to the report paid long and strong consideration to waste reduction and called for more explicit wording on land and water management, and reference to biodiversity.

It added that there should be emphasis on limiting the negative impacts of capture fisheries, aquaculture and extractive industry on the environment.

The wording of economic viability, unprofitability, and shared value needs to be clarified the critics said and there should be a stronger reference to the role of regulators and retailers in delivering shared value.

The critics said the report should consider extending the description beyond ‘Businesses... to be transparent in their activities’ by including ‘and accountable for their commitment’ and it should “consider reference to ethics within the business model”.


Chris Harris, Editor-in-Chief

[Mustang Sally Farm]

Cutting Malnutrition by 2050 Depends on Ag Output, Climate Change
30 May 2014


Purdue News

 


US - Global malnutrition could fall 84 per cent by the year 2050 as incomes in developing countries grow - but only if agricultural productivity continues to improve and climate change does not severely damage agriculture, Purdue University researchers say.

"The prevalence and severity of global malnutrition could drop significantly by 2050, particularly in the poorest regions of the world," said Thomas Hertel, Distinguished Professor of Agricultural Economics. "But if productivity does not grow, global malnutrition will worsen even if incomes increase. Climate change also adds a good deal of uncertainty to these projections."

Hertel Baldos Purdue global malnutrition agriculture sustainability

Agricultural economists Uris Baldos (left) and Thomas Hertel

Professor Hertel and doctoral student, Uris Baldos, developed a combination of economic models - one that captures the main drivers of crop supply and demand and another that assesses food security based on caloric consumption - to predict how global food security from 2006 to 2050 could be affected by changes in population, income, bioenergy, agricultural productivity and climate.

According to the models, income growth coupled with projected increases in agricultural productivity could raise more than half a billion people out of extreme hunger by mid-century.

Income is also set to eclipse population as the dominant driver of food security, a "historical first," said Mr Baldos.

He said: "We expect that the population driver will diminish relative to per capita income in the coming decades, especially in the developing world."

Growth in income will allow people to increase the amount of food they consume and "upgrade" their diets by adding more meat and processed foods to staples such as crops and starches. The shift toward a diet higher in calories and richer in protein could lift many in hunger-stricken regions such as sub-Saharan Africa, South Asia, China and Mongolia above the malnutrition line.

Globally, the volume of food consumed per capita could increase by about 31 per cent. In developing regions with strong growth in income and population, consumption could rise by about 56 to 75 per cent.

But these projections depend heavily on corresponding increases in agricultural productivity, Professor Hertel said. Productivity is a measure of crop yields relative to the inputs used in producing them such as land, labor and fertilisers. Increased global productivity improved the availability of food over the last 50 years, but this trend must continue between now and 2050 to buttress food security.

He explained: "There is a clear link between productivity growth in agriculture and the number of malnourished people. Boosting productivity tends to lower food prices, and declines in the cost of food in turn can allow for better nutrition. Income growth alone will not be enough to solve the malnutrition problem."

Historically, agricultural productivity has been driven by investments in agricultural research and development. The researchers said improvements in food security depend on increasing research spending, especially over the next two decades.

Professor Hertel continued: "The decisions we make now about funding for agricultural research will have implications for a number of malnourished people in 2050. If agricultural productivity stagnates, there will be far more malnourished people in the future, particularly in regions where chronic hunger is already present."

The researchers also cautioned that the impacts of a changing climate on crop yields remain uncertain.

Rising temperatures could extend the growing season in northern latitudes, and an increase in carbon dioxide in the atmosphere could benefit some crops by improving water efficiency. But climate change is complicated, Professor Hertel said.

He added: "Up to 2050, there could be some pluses for agriculture. But in the longer run, adverse temperatures will likely become overwhelming, and rising carbon dioxide concentrations won't help after a certain point. Eventually, you drop off a cliff."

The models show that climate change is a less influential driver of global food security than income, population and productivity - but it could still pose a significant risk to the nutrition levels of people living in the world's poorest regions, Mr Baldos said.

"People living in the most hunger-stricken areas will be the most vulnerable to climate change."

The paper was published in the Australian Journal of Agricultural and Resource Economics. Funding for the research was provided by the US Department of Energy.