There is money to be made from hungry people – that is the unpalatable fact at the root of an article by journalist Graeme Green.
In the feature, which was published in the Metro newspaper in October 2012, he says campaigners are claiming that financial investors are ‘driving up prices and putting the lives of millions at risk’ by betting on the world’s food crisis.
He writes: ‘Last month it was revealed Barclays made about £500 million over the past two years on food speculation. In Britain, the average household food bill increases by about five per cent each year. But in the developing world, where a higher proportion – up to 90 per cent – of income goes on food, rising prices can be a matter of life and death… Food speculation is a major contributing factor, with the activity of investment banks, hedge funds and other financial players in the commodity markets leading to high and unpredictable prices.
‘Barclays is one of three key global player, along with Goldman Sachs and Morgan Stanley, speculating on food commodities, including staples such as what and maize.’
In the article, Deborah Doane, director of anti-poverty group World Development Movement, says: ‘If you are spending 70 or 80 per cent of your income on food, you might have to take your kids out of school, you can’t afford medicines or you’ll sell off the few assets you have to provide for the future.’
To read the full article, please click here.