Publication

This paper discusses the causes of rising food prices since early 2000. It analyzes the structural changes in supply and demand and points out that the main reasons for the price hike have been some very poor harvests, the rising cost of oil, growing demand from consumers in the emerging economies, and the rise of production of biofuels. It argues that food price rises threaten to reverse recent gains in poverty reduction around the world and presents some recommendations for governments and donors.