Food Scarcity - Dexia AM

Is Food Supply Slowing Down?Can current levels of supply feed existing and future demand?•Agricultural Land Use is at CapacityMost usable land has already been cultivatedAgricultural yields are falling•Inefficient Food Distribution Systems ExistExport controls – bans, quotas, taxes – are becomingcommon•First-Generation Biofuel Demand isCompeting for Land ResourcesRepresent a substitute to non-renewable energysources primarily made from food crops•Climate Change and Agricultural SupplyAn average 2°C rise in temperature could reduceglobal cereal production by 5%Per capita availability of arable land between 1961 and 2006FAO, 2009 and UN Population Division, 2006While food production increased by 1-2% in 2008 it was outpaced by a 4% population growth(International Food Policy Research Institute)6May 2010