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32 The Responsible Investor’s Guide to Commoditiesb) Food Security:A challenge to findwin-win-win solutionsDavid Nabarro, UN Special Representativeon Food Security andNutrition, opened the meeting witha keynote speech on food security.Giving a sense of perspective to theaudience, Dr. Nabarro stated “myfundamental concern is that 1 billionpeople are chronically hungryand a further 1 billion suffer fromnutrient deficiency.” His speechcontextualized the day’s proceedingsand focused on the role of theprivate sector in improving foodsystems.The food price spikes of 2007 and2008 exposed fundamental defectsin the global food system. Whilethe recession-induced drop in pricesin 2009 seemed a return to normalcy,in 2011 we now face prices thatare higher than 2008 peaks. Whilea gradual increase in prices can helpfarmers increase their revenues,such volatility hurts small farmerswho are unable to plan harvestsahead of time. It also hurts the verypoor, living on less than $1 per daywithout a safety net if food becomesunaffordable, as well as governmentsthat are importers of foodand have no recourse if adequatesupplies become unobtainable.David Nabarro pointed to thefact that the structural defects inthe world food system stem fromdecades of underinvestment. From1980 to 2000, the share of officialdevelopment assistance dedicatedto food and agriculture fell from18% to 3%. Given that over 50 ofthe world’s poorest nations haveFOOD SECURITYThe first step in enhancing food security is to understand what it is. Food security does not simply meanproducing more food. While population growth will test the world’s ability to supply enough food in the comingdecades, food is not scarce globally. A gross lack of food does not explain why one-third of the world ischronically hungry or under-nourished.Food security connotes the availability of sufficient quantities of food, physical and financial access to food,seasonal and long-term stability of food supplies, and nutritional utilization of food:ELEMENTS OF FOOD AND NUTRITION SECURITYe.g. low productivitydue to lack of agriculturalknow howAVAILABILITYSmall-holderproduction systemsand foodmarketsACCESSPhysicalaccess andpurchasingpowere.g. inability to obtainadequate food due totoo low income and lackof safety netse.g. price increasesdue to food price crisisor seasonal weathershocksReducedvolatility overseasons andyearsConsumptionand utilizationof adequatenutrientse.g. insufficient dietaryknowledge, e.g. onimportance of exclusivebreastfeedingSTABILITYUTILIZATIONFood productionNutrientconsumptionSource: UN