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| Photo by Magharebia |
This, however, is just the beginning of the likely consequences: If history is any guide, rising food prices of this sort will also lead to widespread social unrest and violent conflict.
Food — affordable food — is essential to human survival and well-being. Take that away, and people become anxious, desperate, and angry. In the United States, food represents only about 13 percent of the average household budget, a relatively small share, so a boost in food prices in 2013 will probably not prove overly taxing for most middle- and upper-income families. It could, however, produce considerable hardship for poor and unemployed Americans with limited resources. “You are talking about a real bite out of family budgets,” commented Ernie Gross, an agricultural economist at Omaha’s Creighton University. This could add to the discontent already evident in depressed and high-unemployment areas, perhaps prompting an intensified backlash against incumbent politicians and other forms of dissent and unrest.
It is in the international arena, however, that the Great Drought is likely to have its most devastating effects. Because so many nations depend on grain imports from the U.S. to supplement their own harvests, and because intense drought and floods are damaging crops elsewhere as well, food supplies are expected to shrink and prices to rise across the planet. “What happens to the U.S. supply has immense impact around the world,” says Robert Thompson, a food expert at the Chicago Council on Global Affairs. As the crops most affected by the drought, corn and soybeans, disappear from world markets, he noted, the price of all grains, including wheat, is likely to soar, causing immense hardship to those who already have trouble affording enough food to feed their families.
The Hunger Games, 2007-2011
What happens next is, of course, impossible to predict, but if the recent past is any guide, it could turn ugly. In 2007 to 2008, when rice, corn, and wheat experienced prices hikes of 100 percent or more, sharply higher prices — especially for bread — sparked “food riots” in more than two dozen countries, including Bangladesh, Cameroon, Egypt, Haiti, Indonesia, Senegal, and Yemen. In Haiti, the rioting became so violent and public confidence in the government’s ability to address the problem dropped so precipitously that the Haitian Senate voted to oust the country’s prime minister, Jacques-Édouard Alexis. In other countries, angry protestors clashed with army and police forces, leaving scores dead.
Those price increases of 2007 to 2008 were largely attributed to the soaring cost of oil, which made food production more expensive. (Oil’s use is widespread in farming operations, irrigation, food delivery, and pesticide manufacture.) At the same time, increasing amounts of cropland worldwide were being diverted from food crops to the cultivation of plants used in making biofuels.
The next price spike, in 2010 to 2011, was, however, closely associated with climate change. An intense drought gripped much of eastern Russia during the summer of 2010, reducing the wheat harvest in that breadbasket region by one-fifth and prompting Moscow to ban all wheat exports. Drought also hurt China’s grain harvest, while intense flooding destroyed much of Australia’s wheat crop. Together with other extreme-weather-related effects, these disasters sent wheat prices soaring by more than 50 percent and the price of most food staples by 32 percent. More
Given the devestating flooding that has affected Pakistan in the last two years, with the associated destruction of crops, how will rising prices and potential shortages affect the country? Editor.
