GLOBAL: Nestle chairman attacks food crop use for biofuels - report
- Brabeck-Letmathe says food for people, not cars
- Rabobank analysts say agri-commodity volatility to rise in 2013
Nestle's chairman, Peter Brabeck-Letmathe, has backed those who criticise the use of food crops for biofuels.
Speaking at the Global Forum for Food and Agriculture in Berlin, Brabeck-Letmathe said that food should be for people, not for cars. He said it was "nonsense" to use food crops for biofuels at a time of rising world food prices, according to a report by Bloomberg at the weekend.
However, Brabeck-Letmathe rejected claims from some quarters that investor speculation causes prices to rise.
Last week, the United Nations' Food & Agriculture Organisation said that average food commodity prices dropped by 7% in 2012 versus 2011.
Many industry experts, though, believe that price volatility - rather than price rises - is a bigger risk.
In a report released today (21 January), Rabobank analysts warned that agricultural markets globally are "undervaluing" risk to supplies of key commodities.
"Record-low stock levels leave agricultural markets, particularly grains and oilseeds, vulnerable to increasing volatility in the year ahead," said Rabobank.
"Longer-term volatility in agricultural markets is also on the rise as the world's incremental demand growth is being met by less reliable production regions," analysts added.
Success in emerging markets is dependent on the ability to think locally. However, while domestic players do have the home field advantage, multinational corporations benefit from stringent internal s...
- Why Mars rice plan not just crop-ticking exercise
- ConAgra Foods: what could happen next? - analysis
- Greencore's food-to-go focus paying dividends
- Interview: Ritter sees growth potential in US, EU
- How Danone aims to meet its 2020 objectives
- Pinnacle to buy Boulder Brands in $975m deal
- Aryzta regional CEO steps down
- Maple Leaf Foods to cut over 400 jobs
- Hovis plans cuts amid anxiety over UK bread demand
- Nestle combats Thai seafood supply forced labour