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Presentation on theme: "THE GLOBAL FOOD CRISIS & YOU WHAT YOU NEED TO KNOW. www.g-a-x.com Global Agricultural Exchange : Presents."— Presentation transcript:

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2 THE GLOBAL FOOD CRISIS & YOU WHAT YOU NEED TO KNOW. www.g-a-x.com Global Agricultural Exchange : Presents

3 IS THERE TRULY A FOOD CRISIS ? YES THERE IS AN IMPENDING FOOD CRISIS ON A GLOBAL SCALE YES THERE IS AN IMPENDING FOOD CRISIS ON A GLOBAL SCALE All Right Reserved Global Agricultural Exchange International 2008….. www.g-a-x.com

4 WHAT IS THE CAUSE WHAT IS THE CAUSE ??? Caused By…  Decline in Nigeria’s Oil production due to disruption.  Demand Increases due to Industrialization & high consumption in China, India and the rest of Asia, while OPEC refuses to increase output  Oil is Finite and the lower the world’s reserve the higher the price.

5 Drought. Deforestation. Climate Instability Severe Rainfall Deficiency in Australia  Australia produces over 1.4 million tonnes of rice a year and exports rice to over 70 countries but over the last few months rice production has declined to an all time high. Australia is a Major exporter of wheat to the global market but drought has caused lower production leading to higher prices. Drought In Thailand  Over 60,000 acres of farmland have been hit by drought In Thailand the world’s largest exporter of rice causing export restriction leading to rice shortage and high prices In the global Market.  Thailand rice Sold at $325 FOB Bangkok in 2007 while it goes for over $1,000 As at May 2008.  The Thai government promises to Allow up To 4 Million tonnes of Rice export to Africa during the impending export restriction to help poverty prone countries have more to Consume.

6 Declining Rainfall in Africa Drought in Sierra Leone, Senegal, Ethiopia, Djibouti, Ghana, Kenya, Chad and other African Countries has marked decline in crop production such as Soya beans, cassava, Maize and Sorghum..

7 Population Explosion WORLD POPULATION IS GROWING & FOOD DEMAND IS INCREASING. In 1988 (20 Years Ago) world population stood at 5.2 Billion and currently It stands at over 6.5 Billion People.( a Significant Increase) meanwhile food demand has soared meeting Population Growth, but the Agricultural Industry has seen tremendous challenge over the last 5-10 years due to direct Competition from growing industrialization and the Renewable fuel market. The World Bank predicts that food demand will double by 2030, and world’s Population will be over 8 Billion at the same period.…..

8 Food to Fuel…. BIODIESEL The Rapid Evolution of the Bio-Fuel Market Impacts on Food prices

9 BIOFUELSBIOFUELS.. G.A.X  A Significant No of Companies in the G8 and other rich countries have invested enormously in the bio-fuel industry using food stuff like corn, sugar, barley, Soya bean, oil palm rapeseed etc. as feedstock thus posing a direct competition with the food market. ‘ Oil Palm ’ a Major source of Biodiesel Sold for About $500 per Metric ton in 2006 And as at 2008 it sells for over $1300.  30% of America’s Corn which now goes into Ethanol Production would have been exported To Mexico for food and Animal feed and consumed locally by value added industries and exported to other countries.

10 . But Promoters need to focus on biofuel derived from waste and Non food crops. Like Lignocellulostic Ethanol ( Fuel derived from breaking down enzymes from Municipal wastes, grass, agricultural waste etc). Biodiesel Produced from used Oil or non food oil. Gasification (Deriving fuel from organic matters by a process of applying oxygen under a given temperature)

11 . THE GLOBAL FOOD CRISIS & (ITS IMPACTS) Infact the crisis is not yet felt by Billions of people Around the world.. especially in developed countries due to huge government subsidies on importation and Agricultural goods coupled with hard purchasing currencies. BUT

12 FOOD CRISIS COULD SPARK GLOBAL CATASROPHE IN GROSS SCALE INCREASE IN HOUSEHOLD SPENDING CATASTOPHE FAMINE INFLATION CALAMITY HIGH FOOD PRICES AUSTERITY PROLONGED RECCESSION INCREASE IN DEATH RATES FOOD SCARCITY HUNGER

13 .. IF URGENT ACTION & PRECAUTIONS ARE NOT TAKEN THIS MAY BE THE RESULT… DON’T GET IT WRONG… EVEN IN EUROPE. AMERICA & THE REST OF THE WORLD

14 URGENT ACTION  THE WORLD BANK, IMF AND THE UNITED NATIONS SHOULD COME TO THE AID OF THE WORLD ON THE SHORT TERM BY PROVIDING EMERGENCY CROPS, FERTILIZERS, EQUIPMENT & FUNDS FOR AGRICULTURAL PRODUCING STATES TO WEATHER A SHORT TERM BALANCE.  EVERY GOVERNMENT SHOULD PROVIDE SHORT TERM SUBSIDY ON AGRICULTURAL IMPORTS AND PROMOTE AN ACCELERATED AGRICULTURAL DRIVE TOWARDS PRODUCING MORE CROPS AND COMBATING HARSH CLIMATE WITH THE USE OF AGROBIOTECHNOLOGY, PRECISION AGRICULTURE AND CLIMATE MANAGEMENT.

15 ON THE LONG TERM The Most feasible, potent and lasting solution to solving the incessant food crisis is by creating avenues for the New generation of businesses and entrepreneurs to invest in the miraculous opportunities of sustainable Agriculture plus food processing and harness the power of biotechnology to provide abundant food that is sustainable for this generation and the generation yet unborn....

16 STEPS TO TAKE AS INDIVIDUALS SAVE ( SAVE SAVE & SAVE) The best solution is to save up more money at this time of global recession & food crisis. STOCK UP FOOD. The prices of food & commodities will likely go up in the next few months, so stock up enough food as much as you can.

17 HOW LONG WILL IT LAST ??? For As Long as there is Drought in Major Agricultural Countries ANARCHY LOOMS It’s the second year of severe drought in Australia, Now its Thailand, Ukraine Spain, Canada and Africa. How long will it last???

18 Commodity Supply THE GOOD NEWS RAINFALL BEGINS IN AFRICA, THAILAND AND MANY OTHER DROUGHT AFFECTED AREAS IN JUNE UP TILL END OF THE YEAR. BUT DUE TO CLIMATE CHANGE & UNPREDICTABLE WEATHER CONDITIONS THE WORST COULD HAPPEN. Rainy Season

19 WATCHOUT PREPARE STAY IN TOUCH WITH THE NEWS PLAN & BE SMART BUT MOST IMPORTANTLY SAVE ENOUGH & REMEMBER ITS NOT JUST THE FOOD CRISIS. CREDIT CRUNCH. GLOBAL ECONOMIC RECCESION. CLIMATE CHANGE, RISING FUEL PRICES INFACT (GLOBAL CATASTROPHE)…

20 Wherever you go Remember & Apply the GAX Model. Defining solutions to Problems of the 21st century cannot be achieved with conventional approach; it requires a sequence of dynamic, innovative and paradigmatic thinking and methodology that is sustainable and well informed. It requires vision, commitment and hardwork, with the appropriate mix of technology and intelligence, well calculated and pushed forward by brave and venturesome generation of entrepreneurs cum scientists. IT SAYS

21 THANKS FOR YOUR ATTENTION.. REMEMBER DO THE BEST YOU CAN. Visit. www.g-a-x.com All rights Reserved (Global Agricultural Exchange 2008.)


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