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Biofuel use may force up the price of food

5th April 2007, Page 19
5th April 2007
Page 19
Page 19, 5th April 2007 — Biofuel use may force up the price of food
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THE USE OFARABLE crops to make biofuels could force up the price of food by putting crops in short supply, according to the Food and Drink Federation (FDF).

The FDF says that while it supports the role that renewable fuels can play in tackling climate change and fuel security, it is concerned about maintaining supply to the food industry —UK food and drink manufacturers currently buy more than two thirds of domestic agricultural output.

A spokesman reveals: "It is essential that the EU and national policies formulated to increase renewable energy are managed to avoid distorting the availability of agricultural raw materials for food and animal feed."

The EU has set a target of increasing renewable energy use by 20% by 2020, with 10% biofuels use in transport. It is unclear how well UK and European farmers will cope with the increased demand on their crops to supply biofuel manufacturers.

The FDF says it wants to ensure that "robust economic analyses are undertaken of land use and the increased demands being placed on it, to avoid unforeseen or adverse implications for food and feed supply and consumer prices".


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