How speculators have arranged the biggest famine
Some years of crisis have generated on a planet the most scale famine in history of mankind. Profits of speculators beat records. But according to the United Nations in the world under eat more than billion people. How there could be such situation and what its economic reasons? What policy stands up for dear bread? And how the rise in prices is connected by crisis?
The rise in prices on the foodstuffs has begun in summer 2010 – eight months ago. It has followed a short pause after spring falling the raw and share markets, the first serious correction after a general collapse 2008 – the beginnings of 2009. Experts continue dispute on the reasons for price increase on the foodstuffs.
As the major factors grain dearness of oil and processing of wide range are allocated for biofuel. Contrary to production costs and a poor harvest calculations of the governments show: it is enough foodstuffs to avoid famine. However famine gains in strength together with gamble.
Crucial importance for developed famine has a rise in prices on the foodstuffs. As its reason some analysts see increase of world consumption of calories. It seems, as if the prices are tightened behind consumption.
Since 1990 it has grown not only in Northern America and the Europe, but also in Latin America, China and other Asian states. Industrial processing of grain has risen also. In the United States the quarter of the grown up grain is spent for manufacturing of biofuel.
It would be enough to support 350 million people if for them were available money. Critics of "unreasonableness" of processing of products on fuel do not understand: in conditions of crisis of the USA aspire to provide support of farmers and to strengthen the prices.
Dear hydrocarbons only give chance rationally as it seems, to apply grain extra to favourable commerce.
Manufacture of biofuel acts as the form of support of business in an agriculture, then way to press oil fuel more. Links on growth of world consumption of products in conditions of crisis, at least, disputable.
In the Europe, Canada and the USA consumers are displaced aside more economic products. Stronger the given trend is in other countries of a planet. So in Ukraine, Russia and Kazakhstan the population is compelled to increase consumption of bread.
For authorities its availability in shops under the low prices becomes a question of conservation of political stability.
Revolutionary revolts in the Arabian countries generated in a considerable measure a problem of dearness of bread. Having forbidden export of grain, Russia has accelerated ripening political explosion in Egypt where it earlier was delivered in great volume.
But that supporters of the version of global deficiency of the foodstuffs did not approve, the poor harvest of 2010 has secondary value for a rise in prices on food stuffs. However gamble by the foodstuffs cannot be considered as the independent phenomenon.
They generated both a global economic crisis, and efforts of the governments on conservation of financial stability.
For present gamble by the foodstuffs correction of the markets by spring of 2010 has the same value as exchange collapses in the beginning of 2008 for the first wave of gamble by the foodstuffs.
Before world crisis of gamble by food stuffs, and in particular grain, became expression of availability of huge free capitals at the limitation which have shown already of demand. The rise in prices on products in first half of 2008 was not so scale as in second half of 2010.
Much more actively went then gamble by raw material and, first of all, oil. The price of "oil" has filed up from January till July, 2008 with 92 up to 143 dollars for barrel. The industry still looked remaining on rise. The situation of 2010 was qualitatively other.
The peak of optimism in occasion of going « restoration of economy » has fallen to the beginning of 2010. The easing which has begun in April of the share and raw markets has generated some alarm. More often than steel to sound from officials of accusation that the population does not wish to spend money and to support economy.
The big noise has caused growth in the world of public debts. American economist Nuriel Rubini has declared: « the Greek financial saga – only top of an iceberg of problems with state debts for many industrialized countries, and not just for so-called countries PIIGS (Portugal, Italy, Ireland, Greece and Spain) ».
Growth of the state debts was simple for predicting, when the governments incurred losses of corporations and provided to them generous grants. On this money the markets grew.
In the USA the beginning of 2010 has been marked by appreciable deterioration of a situation in the housing market.
According to the report of Californian company «Rieltytrack ", in the first quarter of that year the number of houses and apartments, sawed off creditor banks at owners because of their inability to return hypothecary credits, has increased on 35 % in comparison with the similar period of 2009.
« At the moment the country leaves on an annual level more than in one million remote objects of habitation », – has declared then vice-president of company Rik Sharga. Despite of efforts of authorities to preserve a situation, position in the housing market of the United States to spring of 2011 qualitatively has not improved. It is expected, that two more one million
Families will lose the habitation. Similar data clearly testify to a proceeding falling actual incomes of weight of the American workers.
After crash of gamble in second half of 2008, the state could compensate for losses of the financial capital. In 2009 there was a revival of gamble on the pre-crisis sample. The prices for the foodstuffs did not cease to grow, but crisis in this area has followed spring correction of the markets of 2010.
Since August the stable rise in prices on oil has renewed, but gamble by grain were developed even earlier. Already in summer it was possible to understand, that they will get huge value. Besides a poor harvest on their strengthening the general reduction of consumption on a planet worked.
In comparison with 2007 demand for the industrial goods has decreased, and the policy which has become fashionable from 2009-2010 of rigid savings forced the population to save even more.
The rigid savings has been tested on Greece under recommendations of EU.
Alongside with the European Union urgent advice to save began to give the governments and others international neo-liberal centers.
If to the middle of 2010 many countries have settled financial resources for maintenance of large business (in what the essence of anti-recessionary policy), increase of indirect taxes on the population, tariffs consisted and payments for travel, alongside with reduction of social expenses became the new mechanism of maintenance of an old anti-recessionary rate.
The rigid savings gave the governments necessary means. To save on support of large business gathered nobody and does not plan. In the beginning of 2011 transition a policy of rigid savings have been compelled to declare and the United States.
Value of policy of rigid savings for progress of food gamble is, probably, greater, than a poor harvest. In the Western Europe the rigid savings became powerful impact on a financial position of workers.
In the countries of capitalist periphery it also began to weaken consumers, provoking narrowing base for economy of the consumer market. Readiness of the governments to spend rigid and "economical" neo-liberal rate assisted new revival of gamble.
And especial value was got with gamble by the foodstuffs – grain, oil, cheap grades of meat. Not growth of actual incomes of the population of a planet, and their reduction has created base for concentration of capitals on gamble by the goods which people physically cannot manage.
Reformation of gamble in summer 2010 has not generated boom of gamble by refrigerators, TVs, furniture or clothes. On peak of a wave there was an oil and the foodstuffs.
But if for one part of the population of a planet it is more to spend an indispensability for a feed meant reduction of other articles (savings in habitation, technics, entertainments and a wardrobe) hundreds millions person of gamble bore threat of starvation.
The free market and efforts on maintenance of banks have led to the most scale famine on a planet for all history of mankind. This famine was born not deficiency of the foodstuffs, and neo-liberal policy of the governments. It is focused to the aid of speculators. Their losses from market games are restored due to workers of classes.
Understanding of benefits from gamble incorporates at the governments to horror before possible revolt of weights. In the East Europe and Central Asia authorities try to supervise the prices even on bread, keeping a possibility of a survival for weight of the population. Discrepancy of this rate is shown with faults which have already happened in Ukraine with bread.
They will be and in Russia. In Kazakhstan to the population all is more difficult for finding in shops dated «social" bread. In opinion of political scientists close to mode of Nazarbaev, it at all does not reduce national love to « the leader of the nation ». In the circle officials accept danger of the developed situation.
They do not see an output and continue to hope that crisis somehow will come to the end, and the new crop will improve a situation in the food market.
Believing on spontaneous completion of crisis are not justified the same as and before.
The impoverishment of the basic consumers of a planet, the working USA, EU and Japan creates base for gamble by the most necessary goods – the foodstuffs, that even more narrows the world consumer market. Efforts of authorities somehow to break the tendency through private measures, for example maintenance of demand on cars, does not give expected effect.
Stimulation of sales of this or that industrial goods facilitates its selling, but does not restore stable market growth. As a result banks do not see for means of application plentifully provided by it in the industry. The profit is promised with gamble.
Maintenance by the governments of financial stability has turned to support of gamble. Price growth of the markets occurs on economy deeply amazed by crisis. It does a part of gamble especially risky in 2011.
The rise in prices on oil, possibly, will interrupt correction or a new collapse as in 2008 which efforts of authorities can delay still. The prices for metals should lower after. Rates of securities at the same time with the raw prices risk going downwards, but gamble by the foodstuffs will not stop. Their crash is hardly possible and in case of a good harvest.
Not at all it is clear, what circles of the big business in it are interested. In any case the rise in prices can be slowed down, but it will not stop.
Products of the most economic group will continue to rise in price, aggravating social crisis on a planet. As though it is terrible did not sound, lean year just begin?
The fault for growth of the grocery prices completely lays on neo-liberal governments of the world, always ready to protect banks-speculators, but never – workers of weight.
Vasily Koltashov, the head of the center of economic researches of College of globalization and social movements for Academy of Open Society Security, (Athens)