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December 7, 2009

Philippines’ Aggressive Rice Purchases Could Spark Another Crisis

Posted by Peter Timmer in Africa, Asia, Food & Agriculture, Global Development, World Trade Organization Tags: ,

I wrote in a CGD Note last week with Tom Slayton about how the Philippines are engaging in aggressive buying techniques that seem designed to drive up prices, raising the specter of another rice price crisis such as what befell us in early 2008. When more than 3 billion people—more than half of whom are very poor—depend on rice for their daily diet, a repeat of 2008 would put many in danger. Read More…

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September 21, 2009

A Good Start, but the G-20 Must Do More on Trade Preferences for Poor Countries

Posted by Randall Soderquist in Global Development, Trade Tags: , ,

This is a joint posting with Kimberly Elliott and also appeared on the Huffington Post.

With one important reservation, we welcome last week’s EU proposal that the upcoming Pittsburgh G-20 Summit “should adopt the “Everything But Arms” (EBA) initiative without delay to support people in developing countries suffering from the crisis.” The EBA nominally provides 100 percent duty-free, quota-free market access for exports from least-developed countries, so suggesting that the rest of the G-20 replicate it is clearly in line with a Sept. 2 letter sent by members of the CGD Global Trade Preference Reform Working Group. The letter called upon: Read More…

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July 13, 2009

Hip Hip…Hooray? Cautious Optimism for G8 Agricultural Commitments

Posted by Jenny Aker in Aid Effectiveness, Food & Agriculture, Global Development, Regions Tags: , , , ,

Last week, the leaders of the Group of 8 pledged 20 billion dollars in agricultural aid, with the purpose of boosting agricultural productivity — especially in Africa. But will $20 billion over a three-year period help to feed many of the 1.02 billion people on earth who suffer from food insecurity? Read More…

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June 5, 2009

GAO Report Highlights Costs of U.S. Food Aid Restrictions

Posted by Kimberly Ann Elliott in Food & Agriculture, Global Development Tags: , , , , ,

This post originally appeared on the Huffington Post on June 5, 2009.

According to a testimony before congress yesterday and a new Government Accountability Office report, congressional restrictions on U.S. food aid raise the costs of delivering it by as much as a third and delay it reaching hungry people by up to 100 days. When donors purchase food locally or regionally, it not only gets to needy people faster and more cheaply, it may also better match local preferences and nutrition needs. Yet, in the midst of last year’s global food price crisis, Congress passed a farm bill that continued the long-standing practice of requiring that food aid be purchased in the United States and that 75 percent of it be delivered by U.S.-flagged ships. Read More…

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April 7, 2009

G-20 And IMF Rhythms: The Problem Is Not the Direction but the Speed

Posted by Nora Lustig in Capitol Flows/Financial Crisis, Global Development, International Financial Institutions Tags: , ,

If the commitments made last week by the heads of state at the G-20 meeting materialize quickly, this is good news indeed. The increase in available IMF and MDB resources for middle- and low-income countries, along with IMF’s announcement of a Flexible Credit Line which will allow countries to borrow amounts without pre-determined limits or conditionality, are crucial for helping these countries cope with the impact of the financial crisis. Increased resources and the right instruments to deliver them can prevent lots of pain for millions of poor people. The mere existence of these options will give many developing country governments more leeway to make counter-cyclical policy responses and reduce the impact of the crisis on economic growth. Read More…

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March 13, 2009

EPA Moving on U.S. Greenhouse Gas Registry: Next Step, Global CARMA

Posted by Lawrence MacDonald in Climate Change Tags: ,

This is a joint posting with Robin Kraft

Nearly two years after the U.S. Supreme Court ordered the Environmental Protection Agency (EPA) to determine whether greenhouse gases (GHGs) pose a threat to peoples’ health or welfare – the first step toward regulation — the EPA this week issued a draft rule on a national GHG registry: Read More…

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February 27, 2009

Obama FY10 Budget Charts Course to Doubling Aid

Posted by Sheila Herrling in Global Development, Migration and Labor Mobility, Modernizing U.S. Foreign Assistance Tags:

Yesterday, the Obama Administration released top-line numbers of its FY10 budget request. Of the whopping $3.6 trillion budget, $51.7 billion was allotted to the International Affairs Budget, an estimated 9.5% above the comparable amount for FY09. Note, however, that defining “comparable” is a bit tough this year because the Administration’s proposal brought all recurring spending (including that for Iraq, Afghanistan and Pakistan that has for years been funded through supplementals) into the base budget, stopping what had become a very bad practice. Our colleagues at the U.S. Global Leadership Campaign do a great job, as they do every year, of walking readers through a comparison.
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July 25, 2008

Last Gasp for Doha?

Posted by Kimberly Ann Elliott in News, Trade Tags:

Trade ministers are currently gathered at the World Trade Organization in Geneva to give one last push to delivering a Doha Round trade agreement before it is put on the shelf indefinitely. As it has been from the beginning, agriculture remains a key stumbling block (see my book, Delivering on Doha). US Trade Representative Susan Schwab started the week by offering to lower the overall ceiling for trade-distorting US farm subsidies from $22 billion to $15 billion. But the offer has been derided as meaningless by Indian, Brazilian, and other developing country negotiators because US subsidy payments are currently well below that ceiling as a result of the recent surge in commodity prices. (USDA projects payments in two of the three trade-distorting categories (excluding de minimis) will be less than $2 billion in this fiscal year.)

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July 9, 2008

Scrap the G8

Posted by Lawrence MacDonald in Africa, Asia, CGD Initiatives, China, Climate Change, Environment, Food Aid, G8, Global Education, Global Health, Global Health Policy, Global Warming, HIV/AIDS, Migration and Labor Mobility, Millennium Development Goals, News, Regions Tags: , , , ,

Once again the G8 has come up tragically short on climate change and a host of urgent problems affecting poor people in developing countries. The good news is that they are at least discussing the right topics. The first Hokkaido G8 document, on the World Economy spills lots of ink on relations between rich and developing economies, including for example, reaffirmation of support for the Extractive Industries Transparency Initiative. The next three policy papers — Environment and Climate Change, Development and Africa, and Global Food Security — all address topics that are at the heart of rich world-developing world ties (and, not coincidently, major areas of focus for CGD research and policy work). The bad news is that the G8, representing as it does the interests of the richest societies on the planet, is the wrong forum addressing global problems that touch on well-being of billions of people in the developing world. The lack of legitimacy is evident in the resulting mealy mouthed policy documents.

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July 8, 2008

Albright and Podesta Call for Rich Country Action on Food Crisis, Including Release of Japanese Rice Stockpile

Posted by Lawrence MacDonald in Agriculture, Food & Agriculture, Food Crisis, G8, Migration and Labor Mobility, News, Rural Development, Trade Tags: , , ,

Former US secretary of state Madeleine Albright and John Podesta, former chief of staff to President Clinton and CEO of the Center for American Progress, have urged rich world leaders assembled for the G8 summit in Japan to take action on the global food crisis, including rapid release of Japanese rice stockpiles imported mostly from the US. In an Op-Ed in today’s Boston Globe they write:

The food crisis must be a top priority at this week’s G8 summit. Agriculture continues to experience more trade distortions than any sector in the global economy. For its part, the developed world — particularly the United States, the European Union and Japan — must confront the global impact of our subsidies and tariffs on agricultural products. Barriers to trade between developing countries must also be reduced. The United States should redouble its diplomatic efforts with key food producing countries to discourage government and private sector export restrictions that encourage hoarding.
The evidence is clear that our global agricultural system is broken and that in our interdependent world, food security is a challenge we must tackle together. The actual release of Japan’s imported rice will be a welcome step toward ending the immediate crisis. But over the long term, getting the system right will require heavy political lifting, painstaking negotiations, and the modernization of agricultural policies that have not kept pace with globalization.

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June 30, 2008

Lord Stern Calls for New Conditionality — On Climate and from Developing Countries this Time!

Posted by Nancy Birdsall in CGD Initiatives, Climate Change, Environment, Global Warming, Migration and Labor Mobility Tags:

Lord Nicholas Stern of Stern review fame delivered CGD’s Richard H. Sabot Lecture last week. It was superb, as Joel Meister reports. Nick managed the trick of combining technical clarity on the economic issues — economists can turn to his Ely lecture at the American Economics Association meeting in January of this year for the details — with passion and a compelling argument for non-economists. New this time was his insistence on the development imperative of addressing climate change, now and urgently.

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June 25, 2008

Let them Eat: Tokyo Favors Subsidized Rice for Cattle Over World’s Poor?

Posted by Tom Slayton in Agriculture, Food & Agriculture, Food Aid, G8, Human Rights, Migration and Labor Mobility, News, Trade Tags: , , ,

A few weeks ago, our CGD Note, Unwanted Rice in Japan Can Solve the Rice Crisis — If Washington and Tokyo Act, created quite a stir. Policy makers and the public could not believe that Japan was feeding rice to animals at a time when millions of poor people were going hungry because food prices were unaffordable. Sadly, Tokyo’s Ministry of Agriculture still does not get it. Today’s press quotes the head of the ministry’s livestock department as saying that Japan plans to increase its subsidized sales of rice to its livestock sector by 50% to more than 600,0000 tons. At a time when millions of people are facing starvation, Japan is choosing to turn its rice stocks into cattle feed.
There is still time to act, especially in the run up to the Japan-hosted G8 Summit next month. The Japanese government must act now — to donate stocks directly to the World Food Programme, release it for sale on world markets and commit its 2008 mandatory purchases for direct shipment to the WFP.

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June 20, 2008

Earth to America: The Price of Gasoline Isn’t Too High, It’s Too Low

Posted by Kevin Ummel in CGD Initiatives, Climate Change, Environment, Global Warming, Migration and Labor Mobility Tags:

On Wednesday, President Bush joined presumptive Republican nominee John McCain in supporting the reversal of a long-standing ban on offshore oil drilling. Bush believes such action, along with exploitation of oil shale deposits and drilling in the Arctic National Wildlife Refuge, will reduce the price of gasoline for Americans. This follows the push made last month by McCain and Hillary Clinton for a summer “gas tax holiday.” While Democrats dismissed the latest proposal as yet another give away to Big Oil and Republicans gear up to push the issue in November, I can still find no politician willing to state the truth: Gasoline prices should be higher, not lower.

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May 19, 2008

Kudos to Tokyo and Washington on Rice Sales — Et Tu, Thailand and India?

Posted by Peter Timmer in Agriculture, Food & Agriculture, Food Crisis, Migration and Labor Mobility, News, Trade, World Trade Organization Tags: , ,

This post is joint with Tom Slayton, a rice trade expert and former editor of The Rice Trader
Today in Tokyo, Japan’s Vice Minister for Agriculture, Toshirou Shirasu, told reporters that Japan plans to export 200,000 tons of rice to the Philippines “as fast as possible.” This confirmed sale comes on top of 50,000 tons of Japanese rice previously under discussion. Even the anticipation of these sales had done much to take the speculative steam out of over-heated global rice markets, as we reported towards the end of last week (see “Rice Prices Fall After Congressional Hearings But Crisis Not Over Yet“), so with some sales now officially confirmed we can hope to see further easing of speculative pressures.

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May 1, 2008

President Bush Can and Should Do More to Address the Food Crisis: Let Japan Sell Its Rice Reserves

Posted by Peter Timmer in Food Aid, Food Crisis, Global Development, Migration and Labor Mobility Tags: , ,

This posting is joint with Vijaya Ramachandran

Today, President Bush called on Congress to provide another $770 million in food aid, in addition to the $200 million already allocated through the Department of Agriculture,in order "to keep our existing food aid programs robust."

There is no doubt that these additional funds are much needed to purchase and distribute food to those who are suffering greatly from the current spike in food prices. But the U.S. can and should do more. Specifically, the U.S. must allow Japan to sell, at full cost on Japanese books, the 1.5
million metric tons of rice that it has in storage. About 600,000 tons is
Thai and Vietnamese long-grain rice (high quality) and the rest is US medium
grain (good rice). All of the rice is in Japanese warehouses because of an
agreement with the World Trade Organization, and the U.S. as "cognizant
observer" of the rice agreement, would need to approve the sale of both
the
US and the Thai/Vietnamese rice. Japan currently cannot release this rice
to the World Food Program (or to the world market) without permission from
the U.S., and the Bush administration is yet to move on this.

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April 11, 2008

The Global Food Crisis: Time for Action, Not Panic

Posted by Kimberly Ann Elliott in Climate Change, Environment, Food Aid, Food Crisis, Global Warming, Migration and Labor Mobility, News, United Nations, World Bank Tags: , , , ,

The New York Times yesterday (and Paul Krugman earlier in the week) called on rich countries to “step up to the plate” in confronting the food crisis in developing countries — in the short run by increasing their donations of food aid. and in the medium run by getting rid of economically inefficient, inequitable, and environmentally unsound subsidies for biofuels, especially corn-based ethanol.

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December 17, 2007

Improving Climate Projections and Adaptation: A Hot Research Topic in Bali

Posted by Kevin Ummel in Climate Change, Environment, Global Warming, Migration and Labor Mobility Tags:

Besides the official negotiations and speeches, the U.N. Climate Change Conference in Bali that I’ve been attending also provided opportunities for sharing new research and ideas. Two subjects dominated the schedule: adaptation and forestry (no doubt reflecting the preferences of our Indonesian hosts). Here I briefly discuss the use of climate models in adaptation — a critical issue for those in the development community. [In a separate post to follow I'll note some new efforts in the measurement and monitoring of forest carbon.]

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