GlobalizationGlobalizationFood and farmingFood and farming

Manu BaumannManu Baumann

1.1. IntroductionIntroduction

Today it is possible to eat fresh food every day Today it is possible to eat fresh food every day everywhere in the worldeverywhere in the world

Big business has grown (food industry)Big business has grown (food industry)

benefit – problembenefit – problem

LEDCs = less developed countriesLEDCs = less developed countries

MEDCs = economically developed countriesMEDCs = economically developed countries

in LECDsin LECDs

in MEDCsin MEDCs

2.2. The problem of food-milesThe problem of food-miles

Have you ever thought how far your food Have you ever thought how far your food has travelled before you eat it?has travelled before you eat it?

Distance of travel = Food-milesDistance of travel = Food-miles

We can reduce food-miles We can reduce food-miles

by eating local foodby eating local food

3.3. Staple foodStaple food

When you buy a When you buy a loaf of bread, the loaf of bread, the wheat in it could wheat in it could have come from have come from any of the wheat any of the wheat producing producing countries:countries:

4.4. Supply and DemandSupply and Demand

When the demand for food is greater When the demand for food is greater then the supply from farmers, the then the supply from farmers, the price is higher.price is higher.

Protection of the farmers from price Protection of the farmers from price variations by the governmentsvariations by the governments

5.5. Globalization and Free TradeGlobalization and Free Trade

Early trade was local; still is today in Early trade was local; still is today in LEDCsLEDCs

Trade gradually expanded as the Trade gradually expanded as the population of Europe grewpopulation of Europe grew

Europe became dependent on import Europe became dependent on import of food (up to World War II)of food (up to World War II)

Governments created different types Governments created different types of incentives and barriers: of incentives and barriers:

Tariffs:Tariffs: when a food product is when a food product is imported a tariff is paid to the imported a tariff is paid to the governmentgovernment

Import quotas:Import quotas: the government the government regulates the quantity of importregulates the quantity of import

Subsidies:Subsidies: the government pays the the government pays the farmer for growing specific cropsfarmer for growing specific crops

Discussion Point:Discussion Point:

We should ask ourselves if We should ask ourselves if food and farming food and farming

companies have too much companies have too much power in the local power in the local

marketplace? marketplace?

Thank you for listeningThank you for listening

Any questions?Any questions?