Trade and Industry

Tuesday, 28 April 2009

Analysing the impact of Biofuels on the Rising Food Prices in SACU Countries

  • Year: 2009
  • Organisation: Trade and Pro-Poor Growth Thematic Working Group
  • Author(s): Thomas Funke
  • Countries and Regions: Southern Africa Customs Union (SACU)

A number of research organisations around the world have recently attempted to capture and explain the impacts that biofuel policies have on agricultural commodity markets. Previously, food price inflation has gone along with the general inflation trend but this has changed. On the supply side the international market has experienced a slightly shorter supply of commodities with weather conditions being one of the most important factors involved (Westhoff, 2008).