Food for thought

BIOFUELS

Why biofuels are an important industry monitor

There were several reasons for the 2008 global food price spike; years of declining crop inventory levels, population and dietary change related demand growth, and disruption to harvests in certain parts of the world from poor weather conditions. However the rapid growth of biofuels, particularly US corn-based ethanol which redirected considerable amounts of land from the food supply chain, also contributed. Despite subsequent political and environmental backlash, biofuels have continued to grow in almost every major region of the world, and by our estimates biofuels growth will add a...