Food and agribusiness survey
Respondents acknowledge that the mounting demand for food does not necessarily sit easily with commitments towards the development of biofuels. Even so, almost 80 per cent believe that nations can meet renewable energy targets at the same time as boosting food production. Indeed, respondents are more optimistic about this issue than in 2012, when only 59 per cent thought that food production would not suffer from a focus on renewable energy.
Many respondents think that the enthusiasm for biofuels amongst states is now on the wane and that renewable energy targets are better served by a focus on hydroelectric, solar and wind power. Respondents note that bio-crop output accounts only for a very small proportion of total production, so its impact on the food sector is limited.
Respondents see embracing the latest food and agribusiness technologies as integral to boosting food production and think that this should not hinder the ability to meet renewable energy targets. Some believe that the use of GMOs will enable the agribusiness industry to meet demand without impacting on green initiatives.
"I think the industry should be carbon neutral."
Mark Bainbridge, Managing director, Kilombero Sugar Company
Respondents also think that, despite concerns about limited resources, there should be enough land for agricultural purposes and that more efficient and effective use of this land will meet the growing demand for food.
Several respondents suggest that food and biofuel production should be made to complement each other, not conflict (as sometimes happens now). They state that proper regulation could ensure that excess food production could be channelled towards biofuels.
Respondents are strongly against the existence of subsidies for biofuels. This is in line with the data from our 2012 survey.
A number of respondents think that subsidies may be necessary to establish or stimulate the industry in a new location, but they should then be phased out once the sector is well developed. There is a concern that longer-term subsidies lead to a distortion of the market.
Most respondents support the principle of a free market. In common with the issue of subsidies in the biofuel sector, respondents are largely against the use of subsidies in food production, although they accept that subsidies are currently necessary to feed certain poorer parts of the world. However, respondents believe that these should be closely monitored and phased out once living standards improve.
Several respondents point to the negative effects of subsidies and the fact that in many circumstances their eradication has led to increased production. One respondent suggests that better access to finance would be a more effective and fairer way of stimulating production in the agribusiness industry.
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