Stomachs or gas tanks?

July 7, 2008  

In the debate over biofuel, the main defense from proponents of edible grains being used in the process has been that there is no definitive proof that their use is driving up food costs. But a recent report from The World Bank has just refuted that argument with a potent accusation.

According to an unpublished World Bank report reported on by the UK’s Guardian newspaper, biofuels have been responsible for as much as a 75 per cent increase in food prices, rather than US government’s stated position that biofuels are responsible for only a two to three per cent increase.

Given the current meeting of the G8 nations in Hokkaido, Japan, the calls for a moratorium on food for fuel production are likely to increase in a very public way, and with the report fuelling a barrage of fresh scrutiny the US will be facing specific arguments against its previous claim.

In light of even the perception of increasing food prices linked to biofuels, the trend away from food-based fuels toward cellulosic materials continues to be touted as one of the most simple solutions to the problem. However, just as biofuel subsidies once (even recently) heralded as progressive steps are now being undermined, so-called secondary biofuels are also not without their risks.

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