Rioting over food prices in Mozambique...

RedTartan · #1 09/03/10, 07:36 AM

The article says the rioting started after the government decided to raise bread prices by 30% because of Russia's grain export ban:

http://www.ft.com/cms/s/0/5f6f94ac-b...44feabdc0.html

Coming soon to a city near you? I also wonder if there are preppers even there and only the zombies make the news?

Ah, well. The coffee is finished brewing now. I'll have a cup and then maybe I'll comment more on this article. I just knew you'd all like to see it.

ETA: When you follow the link, it'll ask you to register. If you go to the story from Drudge though (3rd story from the top right now), you don't have to register :/ Registration is free though so...

RedTartan · #2 09/03/10, 08:23 AM

I've had some coffee now and have skimmed several more articles about this and I have to say that the media is definitely spinning this! (Sorry for the exclamation point, but this is the first time I've noticed them doing it so blatantly.)

The article I posted above quotes Putin as saying that the ban will be extended until late Dec. 2011. Fox is reporting that the ban will be extended til after the next harvest, but voices the hope that there was something lost in translation. Most of the other stories I read are reporting that the export ban MAY be extended, but gives no indication how long it may be extended. Talk about selective reporting!

More interesting is the Russia bashing going on. Several of the article point out that this makes Russia seem unreliable, etc. Yet one of the articles said that Russia's grain harvest was about 75% of what they'd need just for their domestic consumption... What exactly do they want Russia to do? Sell the grain their people need to live on? It seems to me that no one wants to see that this speaks more about other countries ability to provide for themselves than Russia being unreliable.

And if this is how the world sees Russia, how will the people around farmers see them if food gets scarce around here? What will this do to wheat prices if Russia stops exporting until 2012? Or later? What if another crop in another country fails during the ban?

Just the way my mind's turning this morning...

whodunit · #3 09/03/10, 08:28 AM

Our landlord is a wheat farmer and said the crop this year is very good and they are getting a good price due to Russia (and another country whose name eludes me). He also cattle ranches and the price of beef is high now, too.

mekasmom · #4 09/03/10, 08:54 AM

SubSahara Africa is the poorest place in the world. Malawi and Mozambique always have people on the verge of starvation, even in good times.
These price increases will mean the difference of life and death to some of the people there. We aren't in that bad of shape here.

**Terri** · #5 09/03/10, 09:00 AM

Quote:

Originally Posted by mekasmom

SubSahara Africa is the poorest place in the world. Malawi and Mozambique always have people on the verge of starvation, even in good times.
These price increases will mean the difference of life and death to some of the people there. We aren't in that bad of shape here.

Exactly. In this country, if the price of a food goes up, more people choose different foods and life goes on. In third world countries the problem is very different.

In
Russia, if there is less bread then people will eat more potatos, etc.

Paumon · #6 09/05/10, 07:52 PM

Quote:

Originally Posted by Terri

In Russia, if there is less bread then people will eat more potatos, etc.

Then they will have to import potatoes as well as wheat. The drought effected the Russian potato harvest as well.

http://www.freshplaza.com/news_detail.asp?id=67592

Quote:

Drought also affecting potato harvest in Russia

Because of the drought half of the Russian potato harvest was lost. This was reported by the Ukrainian office market Fruitinform, according to the Agrarisch Dagblad. The officials in Russia didn't want to confirm this, they're waiting for the results in September. The lack of potatoes in Russia could have a positive influence for the export and potato prices in West-Europe.

Potatoes form an important part of the food crops in Russia. Fruitinform expects that Russia will replace the lack of domestic potatoes by importing. The office market expects more import from Ukraine and Belarus, where the crops haven't been affected as much by the drought.

Especially after the New Year, Russia has been importing potatoes from West-Europe when their own stock runs out. The lack of domestic potatoes could have a positive effect on the potatoes prices in West-Europe

According to Fruitinform the price for Russian potatoes didn't go above 15 cents per kilo until recently. The price is now around 26 cents. As the season progresses FruitInform expects that the potato price will rise to 64 to 77 cents per kilo in the shops.

The government as well as the organisation of family companies and co-operations Akkor don't want to confirm Fruitinform's prognosis.

Akkor could say that many small farmers have asked for help from the organisation. It's mainly the small family companies that borrow money during the growing season because they expect to be able to pay it back after the harvest. Because less potatoes and grain are being harvested this year than normal, many farmers fear they won't be able to pay back their debts.

Source: Agrarisch Dagblad

Publication date: 8/24/2010

snakeshooter1 · #7 09/06/10, 12:37 AM

maybe they make less Vodka from the potatoes they do harvest?

Ernie · #8 09/06/10, 06:09 AM

I haven't seen Russia clamoring for U.S. (or anyone else's) aid so I don't know that it's our business who they sell their produce to, or whether they eat it or make vodka.