Yesterday, the G-20 met in London to discuss the troubled world economy. The G-20 is made up of the finance ministers and central bank governors of the 19 largest economies in the world with the EU in addition. Last week, the International Food & Agricultural Trade Policy Council (IPC), gave the G-20 ten key points on trade and global food security to keep in mind during their discussion. Here are the ten points:

1. "The world’s largest and burgeoning population centers and remaining arable land are distributed unevenly"

According to the UN, all arable farmland is used up in South Asia and the Middle East/North Africa. On the other hand, in Latin America and places in Sub-Sahara Africa, only 25% of arable farmland is being used. Big cities are continuing to grow, but their local farmland growth has come to a halt. This could pose some problems down the road.

2. "Only a few countries have sufficient available land, water resources and suitable climates to rely totally on their own production"

Even the US imports a variety different kinds of fruit and vegetables, some that can’t even be grown domestically.

3. Climate change

The IPC wants to make sure the G-20 is aware that climate changes are occurring in the world.

4. The ongoing worldwide financial crisis

International investment flows that occurred in the past during high agricultural and food prices are now at risk. The IPC supports open trade policies to fight this, by private investments meeting the ongoing demand in the urban markets.

5. Changes need to be made to developed countries use of export subsidies, trade-distorting domestic supports and higher tariffs for further processed products

The IPC says that a large plan should be made to slowly change these policies that all 20 regions of the G-20 use.

6. Developed and emerging countries should provide duty free and quota free access for all agricultural products from the 50 or so least developed countries

This idea is supported by most countries, and although it won’t bring big short-term changes, long-term it could have some positive effects by promoting more competition.

7. "Developing countries should not rely solely on high tariffs to compensate for policies that have neglected rural areas"

High tariffs hurt poor consumers and don’t improve competition for agriculture. Those high market prices that result from high tariffs don’t help many people.

8. More open trade policies will not solve all of agriculture’s problems

The "Aid for Trade" concepts should be adapted to "Aid for Agriculture" so developing countries can change from the past of agriculture under-funding. If an industry is starved of technology and capital by a government regulated policy, those producers can’t compete in world trade.

9. "Export restrictions aggravate global food security concerns"

Restrictions can cause all sorts of food security problems. For example, when one country has a surplus of a food, like wheat, and another country has a demand for wheat, restrictions and policies must permit the transaction to take place. It can add stress to simple business.

10. "Exemption for humanitarian food aid purchases from export restrictions"

This final point is supported by many. Currently, there aren’t a lot of export restrictions that have leeway during humanitarian aid projects. In such an event, the IPC thinks export restrictions should make the purchases exempt.

The main theme the IPC is trying to portray to the G-20 is that farmland and food will never be right at the hands of the world population that demands it. Policies need to be updated because world trade of food and agriculture products will continue to grow.

- Colvin