NATIONAL ALLIANCES AGAINST HUNGER

What Are You Doing About High Food Prices?

Every country situation is different. But in most countries the recent sharp rise in global food prices is showing up in local price rises.

In the richer countries, where most people spend only a small part of their income on food, everyone is complaining about the rising prices but most consumers are unlikely to change their eating habits. Everywhere, however, in both developing and developed countries, rising food prices make life very tough for poor families. If you normally spend two thirds of your income on food and the price rises by 50%, the only option is to cut the amount of food you and your family buy and eat. This means that, unless something is done, many more people are bound to fall into the hunger trap, from which the only escape is usually sickness and early death. They risk dying of hunger in the midst of plenty of food.

The other side of the coin is that high prices are good news for farmers – provided that they, rather than the middle-men, receive them. Better prices will improve their income and encourage them to invest in expanding their production. This, in turn, will tend to act as a stabilising influence on food prices

In some countries, in response to concerns about food shortages and rising prices, speculation and hoarding of grains are rampant. This can create a situation in which there is plenty of food in the country but people are literally starving because prices are out of their reach – dying in the midst of abundance.

National Alliances Against Hunger have a very important role at this time. They need to make sure that enough is being done in their country to ensure that everyone can lead a healthy life. Possible ways in which they can contribute to solving the problem include:

1. Understand what is happening to food prices and supplies, and who is benefiting and who is losing.

2. Identify the categories of people who are most at risk of hunger and malnutrition and the approximate scale of the problem.

3. Meet with families that are suffering from food price rises and learn about their coping strategies and what they believe are the solutions.

4. Meet with concerned government ministries and departments responsible for food supplies, social security, health , human rights, and agriculture to find out what they are doing about the issue.

5. Meet with grain traders and discuss ways of curbing speculation and hoarding, and reach an understanding on this.

6. If too little is being done, engage with the government and leading CSOs in identifying, designing and implementing immediate solutions, focusing on ones that will not undermine incentives for farmers to engage in expanding future food production. (see box, below).

7. Brief the media on the situation and proposed solutions. Using the media, suggest to individuals the things that they can do to alleviate the situation.

8. Contact international organizations, especially those that are members of the International Alliance Against Hunger (FAO, IFAD, WFP, Biodiversity International, UNICEF): inform them on what you are doing and alert them to areas in which their assistance might be helpful.

9. Contact other NAAH that might have relevant experience and invite them to share this with you.

10. Help responsible agencies to put in place monitoring systems to detect food deficiencies and to ensure that programmes to address the problem are being run honestly and reaching those families that are most in need.

Some Safety Net Options

1. Create or expand predictable cash transfer or food stamp programmes, targeted on the poor, to enable them to meet their food needs.

2. Expand school meals programmes, based on local food purchases and school gardens.

3. Expand mother and infant feeding programmes, using locally sourced food where possible.

4. Open fair price shops for the needy, possibly supplied through the sale of government-held grain stocks.

5. Open soup kitchens and popular restaurants for urban poor.

6. Provide incentives (e.g tax breaks) for private sector firms that provide their workers with free or subsidized daily meals.

7. Expand scope of food/cash for work programmes, targeted on poor but able-bodied people.

General food subsidies are simple to introduce but not recommended as they tend to disturb the market for farm output and reduce incentives to future output expansion.

Please tell the IAAH about the impact of rising food prices in your country and how the NAAH is addressing this.

 
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