In This Article
30-Second Summary
Headline Links: Cyclone obliterates rice-producing region
Video: International Rice Research Institute
Background: ‘Myanmar Cyclone Death Toll More Than 22,000’
Opinion & Analysis: Global price increases for food
Reference: Socially responsible food, ‘Nature Wages War,’ and food security
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Workers pour rice into bags to be loaded on to a truck for distribution, in Yangon,
Myanmar (AP).
Myanmar (AP).
Myanmar Cyclone Sacks Rice-Growing Region
May 07, 2008 05:05 PM
by
findingDulcinea Staff
by Anne Szustek
The destruction left by Cyclone Nargis dented the Asian country’s rice crop, although analysts believe this will have little effect on global rice supplies.
The destruction left by Cyclone Nargis dented the Asian country’s rice crop, although analysts believe this will have little effect on global rice supplies.
30-Second Summary
The five Myanmar states that were declared disaster zones in the aftermath of Cyclone Nargis produced 65 percent of the country’s rice crop. The Irrawaddy Delta area, among the hardest-hit by the cyclone, is known as “Burma’s rice bowl.”
About 40 years ago Myanmar was one of the world’s largest exporters of rice, shipping out some 4 million tons per year. That number dwindled to 40,000 tons in 2007 due to domestic demand for the cheap grain.
Myanmar, as well as much of Southeast Asia, consists of low-lying, swampy ground ideal for growing rice. However, urbanization and rising sea levels are encroaching on this terrain, which International Herald Tribune writer Phillip Bowring argues is the root cause of for the global rise in food prices.
“Per capita rice consumption tends to fall as societies get richer and diets more diverse. High prices will stimulate production. One day Myanmar will reemerge as a major exporter,” he wrote.
As for the cyclone’s affect on prices, HSBC Global Research Economist Frederic Neumann said, "I don't think the cyclone is sufficient to spark another bout of hoarding and panic buying by consumers around the world that was the cause of the recent spike in prices.”
The global price for rice for July delivery hit $24.745 per 100 pounds for the first time last month, prompting international panic. Arkansas-based box discount retailer Sam’s Club put a four-bag limit on jasmine, basmati or white long-grain rice per family per visit.
About 40 years ago Myanmar was one of the world’s largest exporters of rice, shipping out some 4 million tons per year. That number dwindled to 40,000 tons in 2007 due to domestic demand for the cheap grain.
Myanmar, as well as much of Southeast Asia, consists of low-lying, swampy ground ideal for growing rice. However, urbanization and rising sea levels are encroaching on this terrain, which International Herald Tribune writer Phillip Bowring argues is the root cause of for the global rise in food prices.
“Per capita rice consumption tends to fall as societies get richer and diets more diverse. High prices will stimulate production. One day Myanmar will reemerge as a major exporter,” he wrote.
As for the cyclone’s affect on prices, HSBC Global Research Economist Frederic Neumann said, "I don't think the cyclone is sufficient to spark another bout of hoarding and panic buying by consumers around the world that was the cause of the recent spike in prices.”
The global price for rice for July delivery hit $24.745 per 100 pounds for the first time last month, prompting international panic. Arkansas-based box discount retailer Sam’s Club put a four-bag limit on jasmine, basmati or white long-grain rice per family per visit.
Headline Links: Cyclone obliterates rice-producing region
Time reports that since the cyclone prices for rice have doubled in Rangoon. Andrew Kirkwood, head of Save the Children voluntary group in Rangoon, said that the “most urgent need is food and water … Many people are getting sick. The whole place is under salt water and there is nothing to drink. They can't use tablets to purify salt water.”
Source: Time magazine
The situation in Myanmar is grim. The salt water-tainted rice paddies are threatening local rice supplies, and the area’s irrigations systems are destroyed. Credit for disaster rebuilding from Myanmar’s ruling junta is non-existent. In fact, Cyclone Sidr’s lasting effect on Bangladesh could presage the length of time it will take Myanmar to recover. "Eight months after the cyclone, areas most affected still have high malnutrition rates and families impoverished by cyclone are still trying to get their lives back," said Paul Risley, spokesperson for the UN World Food Program.
Source: Seattle NBC affiliate KING (AP)
Video: International Rice Research Institute
On April 11, the International Rice Research Institute’s Board of Trustees held a press conference about the rising price of rice. “All of us are looking for innovative solutions in our countries—how to address not only the issue of supply but also the issue of prices, how to ensure that poor families can eat,” said IRRI board member Arthur Yap.
Source: YouTube
Background: ‘Myanmar Cyclone Death Toll More Than 22,000’
If the number of fatalities is confirmed, Cyclone Nargis would be the second-deadliest storm in history. Some say such extreme weather is indicative of climate change, which particularly threatens low-altitude rice-growing regions such as Bangladesh and Myanmar’s Irawaddy Delta.
Source: findingDulcinea
Opinion & Analysis: Global price increases for food
Philip Bowring of the International Herald Tribune analyzes the factors behind the global rice situation, and the “anti-market forces that have held back production and enhanced consumption.”
Source: International Herald Tribune
Rice prices have reached new highs due to concerns that export bans by key countries will affect world supplies. The price of rice has risen about 68 percent since the beginning of the year due to high fuel costs, bad weather and land allocations favoring biofuel crops.
Source: The BBC
Price increases for food have been steep and swift, according to the Australian Broadcasting Corporation. The problems will only get worse if not adequately addressed, said John Holmes of the United Nations. “This is not just, I think, a sort of quick blip in prices which will return to normal shortly."
Source: Australian Broadcasting Corporation
U.S. consumers are stocking up on rice as warehouse chains such as Sam’s Club ration sales. High global prices have prompted riots in some countries.
Source: findingDulcinea
In response to the increasing costs of staple foodstuffs, some developing countries are resorting to price restrictions and import regulations.
Source: findingDulcinea
Reference: Socially responsible food, ‘Nature Wages War,’ and food security
FindingDulcinea’s Web Guide to Socially Responsible Food includes tips on how to shop for sustainably and ethically produced groceries.
Source: findingDulcinea
Read findingDulcinea's series “Nature Wages War” for more information about weather and climate.
Source: findingDulcinea
The UN Food and Agriculture Organization, which according to its Web site “leads international efforts to fight hunger,” has a collection of research papers and articles on the future of world food supplies.
Source: UN Food and Agriculture Organization
© 2010 Dulcinea Media, Inc.
