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Renewable Fuels Association Urges Complete, Unbiased Review of Factors Driving Food Price Inflation
Calls on World Leaders to Make Wise Choices about Food and Energy Security

Washington – As talks are beginning in Rome about the factors behind and solutions to world food price inflation, Renewable Fuels Association President Bob Dinneen called on world leaders attending the summit to consider the issue in its entirety. The following is a statement by RFA’s Dinneen:

“Addressing issues of food security is a matter of great importance that cannot be taken lightly. As world leaders meet in Rome this week to discuss the price and availability of food worldwide, it is critical they examine all factors impacting food equally and without prejudice. They must agree on solutions that do not derail the one industry that has significantly reduced oil consumption, while having little overall impact on the price of food – biofuels.

“It is unfortunate that preliminary statements from some world leaders and institutions seek to blame the world biofuels industry more than any other factor. This misguided assault will do little to bring the kind of food security required by millions of people around the world. As a matter of fact, the two commodities causing most of the concern – rice and wheat – are unrelated to biofuel production, as the FAO notes in documents prepared for this meeting. Most analysts recognize that skyrocketing oil prices, droughts, devastating storms, commodities speculation, and government policies—not biofuels—have been most responsible for driving up prices for those grains.

“Efforts to demonize biofuels will distract from the real issues that have pushed far too many people into hunger. Failures by nations and international organizations to address the ever-increasing demand for ever-depleting oil reserves or encourage increased agricultural productivity and efficiencies have set the stage for the food crisis in which we find ourselves.

“Without question, unabated skyrocketing oil prices is forcing the price of food out of reach for millions of people and making it impossible for food aid organizations to deliver much-needed aid. As much as 65 percent of food aid budgets is spent on transportation alone. Moreover, it is simply impossible for farmers to produce reasonably-priced food with unreasonably-priced fuel.

“Rushing to condemn biofuels – or to differentiate between those claimed to be more acceptable than others – will only relegate the world to a continuation of the current “status quo. Vilification of an industry still evolving would further concentrate future power and wealth in the hands of oil suppliers and leave those importers of both oil and food in ever more dire straights.

“The biofuels industry being developed today all across the Americas, Europe, Africa and Asia is laying the groundwork for a future industry that will provide greater economic, environmental and energy security benefits to all peoples. The biofuels industry is hard at work developing new methods and technologies to convert wood chips, switch grass and other cellulosic materials into ethanol to build on the existing starch based industry.

“All of the crises the world faces – food, environmental, and economic – have a common cause: the unsustainable price of an ever-tightening supply of carbon-rich oil. Biofuels represent one way in which all the nations of the world can participate in shaping a more sustainable future.

“I encourage all the leaders attending this summit to be honest and forthright in assessing the factors contributing to the world food crisis. Any analysis that seeks to demonize biofuels is not aimed at solving the world’s food crisis. Rather, consciously or not, those advocating a review of biofuels policy are playing into the hands of those who would keep the world hooked on petroleum.

“This meeting presents an historic opportunity for the world to make hard choices about the future. I strongly urge them to choose wisely.”

Contact:
Matt Hartwig
Renewable Fuels Association
202-289-3835

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