Nivac

A second food crisis in as many years is a wake-up call. At a meeting in the Italian town of L’Aquila last year, the leaders of the G8 pledged to enhance global food security to prevent a repetition of the 2007-08 shortages. Last week’s extension of Russia’s grain ban and eruption of food riots in Mozambique shows how much needs to be done to meet this goal.

The parallels with the last crisis should not be overstated. Despite the recent spike in wheat, food prices are still well below the peaks they reached in early 2008.

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1 day ago

DAIRA DINPANAH, Pakistan — Abdul Rehman and his family live under a tree next to a pile of rubble on a newly created island where his house used to be.

In the month since his home was destroyed in the raging floodwaters that inundated Pakistan, he has gotten no aid of any kind from the government or private aid groups to help him survive, he said.

Frustrated and desperate, he joined a protest with dozens of other villagers that blocked the main road in this area 10 days ago. In response, police opened a criminal investigation against him, he said. And he still hasn’t gotten any food or even a tarp to shield his family of six from the blazing summer sun, he said.

More than 3 million people have yet to receive desperately needed food aid, according to the U.N., and the Pakistani government says nearly 1 million people have received no help of any sort.

“They need everything,” said Ahmad Kamal, spokesman for Pakistan’s disaster management agency, who appealed to international donors to send tents, ambulances, mobile clinics and hygiene kits.

The lack of aid has led to anger against an already-fragile government that is seen as a key U.S. ally in the battle against Islamic extremists along the frontier with Afghanistan.

The anger itself is hampering relief efforts, with the Red Cross twice halting distributions after being confronted by mobs of people upset they were not getting enough aid, the organization said Thursday.

Part of the problem is simply the scale of the crisis. The floods that began their slow wave of destruction across Pakistan at the end of July swamped as much as one-fifth of the country, leaving 8 million people dependent on aid, according to the U.N. And that number keeps growing as more areas are affected.

“This seems to be a never-ending disaster,” said Stacey Winston, a U.N. spokeswoman.

But many of those affected also blame the problem on corruption by local government officials, who steer aid to their supporters and withhold it from others.

Of the 32 families in Daira Dinpanah, about 90 miles (140 kilometers) west of the city of Multan, only seven who have ties to local political leaders have received aid of any kind, said Khalid Iqbal, 35, who stands on the side of the road clutching a list of all those needing assistance, waiting for an aid group to pass by. The remainder have survived by scrounging meals at the local mosque, or, like Rehman, temporarily bouncing between relatives’ houses before returning home.

A month after the flood hit, the village’s fields are still filled with water and its roads are a muddy swamp. Rehman’s house is surrounded by floodwaters and reachable only by a makeshift bridge of two steel girders laid end to end, held aloft in the middle by a bed sunk in the water.

His snack shop on the road is gone and even the ledger where he recorded the debts his customers owed him was destroyed.

“There is nothing for us beside these broken homes,” the 30-year-old said, surveying the piles of mud and brick where his house once stood. “We left this area in the night, at 2 a.m., with only the clothes we were wearing. We still have only the clothes we were wearing.

“The government should give us shelter, give us money to rebuild our houses and to buy some food. If it can’t do that, than at least it should give us tents so that our children live in respectable conditions. Here we are living in the open sky. How can we survive like this?” he said.

Ghulam Mustafa, 30, said he only received food once, a package of flour and other relief goods sufficient to feed a family of six for a week, but only enough to sustain his family of 10 for a few days.

When he later appealed to local officials for more food, they sent him away, he said.

“We are running behind the (aid) trucks, but they give us nothing. They are not listening to us,” he said. “Nobody even came here to ask us, ‘What do you need?’”

Without the tent Mustafa said he desperately needs, he, his wife and his eight children are sleeping in the rubble of their house under a blue tarp borrowed from a neighbor.

“But he keeps asking for it back,” Mustafa said.

Local opposition politician Javed Akhter said the vast majority of the government aid is being funneled to the supporters of the local administration, and rued that his relatively well off region has been reduced to a town of beggars.

Kamal said workers from the disaster management agency sent aid to the affected areas but could not monitor how it was distributed.

Malik Ahmed Hunajara, the local representative to the provincial assembly, denied political favors were influencing aid distribution.

“This is not true,” he said. “There is a huge population that is affected and the government cannot give to everybody.”

Local and international aid organizations were trying to meet the shortfall.

The army was as well. Lt. Iqbal Khizar and his unit have been roaming remote parts of Muzaffargarh district with trucks filled with aid in recent days, giving emergency help to those that have fallen through the cracks.

In other places, Islamist groups — some with ties to extremists — were filling the vacuum.

The only source of food for the Tibba Jamal Wala tent camp along the side of the road in Muzaffargarh is the Islamic group Falah-e-Insaniat, which is believed to be a front for Lashkar-e-Taiba, the banned group blamed for the 2008 Mumbai attacks.

“We have to provide food for people in the far areas where no one is going,” said Hijrat Khan, a relief official with the group. He overseas dozens of people cooking meals of rice and potatoes that are then shoveled into plastic bags, stacked in vats, loaded on trucks and delivered to flood victims every evening.

The group has provided cooked meals to 1.5 million flood victims, treated more than 300,000 patients and given rations to 85,000 families, Khan said.

At the camp, residents said the government had given them tents, but nothing else, since the camp was established three weeks ago. Three children died from untreated diarrhea, residents said.

The chief minister of the province came recently, said the government was trying its best, but he brought no aid, said Aijaz Hussein, 27.

On Wednesday, the residents held a protest blocking the road. On Thursday, some government officials came to take a survey of the camp, but again brought no aid.

“I don’t know what they are thinking, what is in their minds. They provide us nothing,” Hussein said. “Now we will not support the government. Whoever helps us we will support.”

Copyright © 2010 The Associated Press. All rights reserved.

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For many students, back to school means back to a vending machine diet. As you might guess, this isnt necessarily a good thing for student health.

Vending machines are found in 16% of US elementary schools, 52% of middle schools and 88% of high schools. About 22% of students in grades 1 through 12 buy food in vending machines each day and those purchases added an average of 253 calories to their diets, according to a new study in the September issue of the Journal of School Health.

Just to be clear, those were not 253 calories worth of tofu, yogurt or carrot sticks. The most popular vending machine items included soft drinks, candy, chips, crackers, cookies, cakes and ice cream. On the plus side, kids also bought low-fat milk, fruit juice and even fruit, the study found.

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This appeared Wednesday in the Los Angeles Times.

How did bacteria spread through two Iowa egg farms, leading to the largest Salmonella enteritidis outbreak ever recorded in the United States? Take your pick. Stomach-turning inspection reports released Monday by the Food and Drug Administration found wild birds, which can carry the disease, flying and nesting near caged chickens and a feed mill. They found workers who didn’t wear protective clothing, and chicken manure piled so high that it bulged through barn doors, providing access to rodents.

A better question: Who’s guarding the henhouse? Not government regulators. FDA officials claim new egg safety rules that went into effect in July could have prevented the outbreak had they been in place earlier, but that’s true only if big egg producers actually obeyed them. Austin “Jack” DeCoster, owner of Wright County Egg in Iowa, has allegedly been flouting federal environmental and workplace rules for decades with little consequence; his company has recalled 380 million eggs since the salmonella outbreak.

A bill to give regulators more authority probably would have died quietly in the Senate if not for the crisis, which has focused public attention on food security lapses. The Food Safety Modernization Act, already approved by the House, would give regulators the power to order recalls of tainted foods and suspend the registration of food facilities. Crossing the 60-vote threshold needed to overcome a Senate filibuster on this bill still won’t be easy considering the extraordinary power of Big Ag, but the failure of the current system shows how badly reform is needed.

Meanwhile, a simple and cheap way to prevent salmonella exposure is being neglected: vaccines for chickens. US regulators examined such vaccines before the current outbreak but decided not to mandate them, apparently based on outdated studies, according to a recent report in The New York Times. Yet vaccination in Britain has all but wiped out salmonella in eggs there, and California vaccination guidelines have done the same in the Golden State. The FDA should reconsider.

Industrialized agriculture has profoundly changed the American diet and landscape, greatly reducing the cost of food but exacting a steep price in other areas. One of them is public health, which is under threat not only from farm-based bacteria such as E. coli and salmonella but also from industrial pesticides, synthetic hormones and the overuse of antibiotics on grain-fed livestock. With all that to cope with, fighting salmonella should be comparatively easy. All it takes is a little courage on the part of public officials to resist the farm lobby.

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Two years after the last food crisis, when prices surged by nearly 15% in the UK, food inflation is back. Soaring global food prices have prompted City and food industry experts to warn that the cost of the weekly shop is set to rise by up to 10% in the coming months.

As in 2008, rocketing prices are the result of rising demand and supply shortages caused by freak weather and poor harvests. Moreover, these conditions are exacerbated by speculation on commodity markets and changing diets in fast-growing Asian countries.

Last week, the UNs Food and Agriculture Organisation (FAO) called an emergency meeting for 24 September to discuss the food crisis. In Mozambique, riots broke out following the governments decision to raise bread prices by 30%, leaving seven people dead and hundreds injured. At the same time the Russian government extended its export ban on wheat by another 12 months as it battles drought, shortages and inflation at home, which threatens to push up prices further. European wheat prices hit more than €231 (£192) a tonne last week, just below last months two-year high of €236 but still 60% higher than a year ago in sterling terms. Corn prices are at their highest level since June 2009 while sugar has been on a rollercoaster ride after hitting a 29-year peak in February.

FAO economist Abdolreza Abbassian raises the prospect of further civil unrest in less developed countries if the price of basic food continues to rise: Russias move is another unfortunate development that will prolong upward pressure on grain prices and contribute to higher price instability in world markets. Rioting may reappear in poor districts around the world if prices of basic foodstuff commodities continue to rise further.

Surging wheat prices, along with higher sugar and oil-seed costs, drove the FAOs international food price index up 5% last month, the biggest rise since last November. The organisation estimates this years wheat crop at 646m tonnes – down 5% from last year – while world barley production, also hit by bad weather in the former Soviet Union and the EU, is forecast to drop by 22% to a 30-year low of 129m tonnes. Last month global meat prices hit a 20-year high.

In the UK, Premier Foods, owner of the Hovis brand, has warned the global shortage of wheat could push up the cost of bread by at least 5p a loaf, while other food brands such as McDougalls flour and Mr Kipling cakes will also cost more.

A leading UK supplier of flour, Rank Hovis, is to increase its prices from 6September. Soaring barley prices mean that the pub price of a pint of beer could top £4 this time next year.

Experts fear that UK food price inflation, which was running at an annual rate of 3.4% in July, could now rise to 10% – depending on whether costs continue to climb and to what extent food manufacturers absorb the increases.

The Grocers food and drink editor Alex Beckett reckons that if prices for commodities such as wheat, sugar, cocoa and palm oil remain at current levels, by January the weekly shop could cost 10% more than 12 months previously.

Philip Shaw, chief economist at Investec, said: If the current rise in prices is sustained, food price inflation might climb to 7-8% by mid-2011. And Philip Rush, at Nomura, sees food prices going higher over the next year, tipping back up to above 5% year-on-year growth.

Meat

Global meat prices have risen sharply as a drop in production from exporters such as Argentina and the US has coincided with rising demand from China, where consumers are eating more meat than they used to. The FAOs index of meat prices in August climbed to its highest level since it started compiling the index in 1990, up 16% over the past year. Lamb prices are at a 37-year high, beef prices are at their highest level in two years and pork and poultry have also become dearer.

Mark Topliff at Eblex, which represents the English beef and sheep industry, explains that in recent years, falling cattle prices have led to fewer farmers keeping cows in major exporting nations like Argentina, Brazil and the US, the worlds biggest beef producer. The removal of EU subsidies under the common agricultural policy for British and European sheep farmers has also led to a decline in sheep numbers.

Wheat

The European flour milling association has highlighted the role of speculators in driving up wheat prices, although the global shortage appears to be the main factor. The main culprit is the weather – wheat prices have been going up since the summer when crops were hit by a drought and wildfires in Russia and dry weather in Ukraine and Kazakhstan, compounded by unusually wet weather in Canada and the floods in Pakistan.

Russia, the worlds fourth-biggest wheat producer, has imposed an export ban on grain amid its worst drought in at least 50 years, and prime minister Vladimir Putin warned last Thursday that the ban could stay in place until after the 2011 harvest, forcing importers in the Middle East and North Africa to turn to Europe and the US for supplies.

This has completely changed the complexion of the market, said Sudakshina Unnikrishnan, a commodities analyst at Barclays Capital. We see further upside for corn and wheat prices. Consuming countries are scrambling to gain access to supplies, she warns.

Britains wheat crop is expected to be close to average this year, but Germany, which had more rain in August, could become reliant on wheat imports for the first time in 10 years. The winter wheat harvest will be 9% lower this year than last, according to the German farmers association, forcing Germany to import grain from France and the US.Bad weather has also affected the quality of the wheat, which suffers when it stands too long in the rain. Lower-quality wheat is used as animal feed.

The premium for high-quality milling wheat used in bread, cereals and biscuits, which now costs about £195 a tonne, has climbed to £30-£40 from the typical £10-£15.

If we dont get a bumper harvest from the southern hemisphere, namely Argentina and Australia [due at Christmas], the wheat price could continue to stay where it is, said Guy Gagen, chief arable adviser at the National Farmers Union. The Northern hemisphere – the US, Canada, Russia and northern Europe – produces 80% of the worlds wheat supply.

Experts note, however, that the market is not in the same position as it was in 2007/08, when global wheat stocks were very low, as there have been two seasons of replenishment. The problem is that many countries will not release their surplus stocks to the market but are hoarding them, says Alexander Waugh, director general of the National Association of British and Irish Millers.

On a brighter note, he adds: High prices tend to encourage farmers to plant more crops. The situation may be uncomfortable but its not out of control or unmanageable.

Cocoa

In mid-July, a US commodities trading company, Armajaro, attempted to corner the market in cocoa by taking delivery of 7% of the worlds supply at a time when prices were at a 32-year high of $3,200 per tonne (£2,077) – a $1bn bet. The fear was Armajaro would squeeze the market, forcing prices even higher. In the event prices have gone into reverse, falling by more than 25% as fears have receded that supplies from Ivory Coast, which produces 40% of the worlds cocoa, would be hit by bad weather.

However, last week Barry Callebaut – the worlds biggest chocolate company, which supplies confectioners such as Nestlà – said prices would stay high.

Retailers do not want to accept higher prices at the moment in spite of higher raw material costs, said the companys chief executive. But pressures will rise, prices will just have to increase.

Sugar

Sugar prices hit a 29-year high in February, but then fell back sharply. However, last week Brazil – the worlds biggest sugar producer – warned crops may be lower than expected as a result of dry weather and the price climbed back to its highest level since March.

Coffee

Coffee prices are at a 12-year high and global stocks at their lowest level for a decade. Several coffee bars have started to push through price rises, although Starbucks said last week that it would not raise prices.

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We are bringing the Italian dream and American dream together, Batali, the best-known backer of a new food concept called Eataly, told CNBC, from the floor of the mega-retail store in the Flatiron District of Manhattan.

The 42,500-square-foot restaurant and grocery space also has a 4,500-square-foot open-air rooftop beer garden.

Within that area are seven full-service eateries, a caf, wine shop, bakery and patisserie and a culinary educational center, where customers can get instructions on how to prepare various Italian dishes at home.

In addition to being known for his creative cooking, popular restaurants and self-promotion, Batali is also identified by his work garbshorts and brightly colored Crocs. He owns 18 restaurants, including Babbo, Esca and Del Posto, and formerly hosted his own show on the Food Network.

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KCRWs Good Food Pie Contest
Calling all pie lovers! Today is the day: Its KCRWs Second Annual Good Food Pie Contest. Over 200 pies have been entered in five categories, and a panel of well-known foodfolk judges are ready to taste them all. Head over to the Taste of Beverly Hills venue to see the pies, watch the final round of judging, catch a cool apron show, and see the winners be announced. The event is FREE–though its at the Taste of Beverly Hills venue its NOT a ticketed event. Street parking abounds. Plus…you get to eat PIE!

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3 days ago

BROOMFIELD, Colo. — Food and beverage bottler Ball Corp. said Wednesday that it will close a British Columbia plant that makes cans for the salmon industry, affecting 40 jobs.

The Richmond plant, which produces steel food cans, will close down during the first quarter of 2011. The company said the move will save money and help it better meet the demands of its customers.

The company will take a $7 million charge related to the closure, $3 million of which will be recorded during the first quarter. After shedding the building and land, Ball said it will realize a net gain of $8 million.

The plant opened in 1985 and serves the Alaskan and Canadian salmon industries. The 40 employees will be offered outplacement and severance.

Copyright © 2010 The Associated Press. All rights reserved.

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A chemical linked with prostate
cancer and infertility should be eliminated from cans and
plastics used to package food for babies and young children, a
consumer advocacy group said.

The chemical Bisphenol A, or BPA, was detected in 87
percent of the 38 canned products — ranging from baby food to
tuna to coconut milk — tested by the group, Choice.
“Relatively high” levels of BPA were found in some baby and
infant foods, the Sydney-based group said in a statement today.

HJ Heinz Co., based in Pittsburgh, said it will use BPA-
free packaging for all its baby-food products, following a move
by major Australian retailers to phase out BPA in baby bottles
after a similar decision in Canada and the US, Choice said.
The US Food and Drug Administration is conducting studies on
the safety of low BPA doses and “supports reasonable steps” to
cut infants’ exposure, the agency said on its website.

“Opinion may be divided on the potential health hazards of
BPA, but why take unnecessary risks especially with young
children for whom exposure to these chemicals can mean increased
health problems later in life,” Christopher Zinn, a spokesman
for Choice, said in the statement. The group calls on “the
government to phase out BPA packaging for all baby foods and
foods designed for toddlers and young children,” he said.

BPA is used to make products including plastic food and
drink containers and compact discs, and in epoxy resins applied
as a protective coating for metal cans. The industrial chemical
has been present in hard plastic bottles and metal-based food
and drink cans since the 1960s, according to the FDA.

Previous studies have linked BPA to health conditions
including heart disease and diabetes. The US National
Toxicology Program said this year it has “some concern” for
effects on the brain, behavior, and prostate gland in fetuses,
infants and children at current human exposures to BPA.

Heinz, the biggest supplier of baby food in Australia,
announced the phase-out in a July 1 statement.

“While international and Australian food authorities have
all declared BPA in food packaging completely safe, Heinz has
acknowledged a level of consumer concern about BPA in baby-food
packaging by pursuing this voluntary phase out,” Heinz said.

To contact the reporter on this story:
Lena Lee in Singapore at llee42@bloomberg.net.

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3 days ago

ALBANY, N.Y. — State investigators say the former director of food services for New York’s prisons took favors including three-day picnics and other parties in exchange for steering contracts to vendors.

Some of the companies given contracts were prohibited from doing business with the state.

Comptroller Thomas DiNapoli and Inspector General Joseph Fisch say Howard Dean, who retired in 2008, benefited from the arrangements and created a culture that led subordinates to accept the practice.

Dean was accused in April of skipping Friday work shifts for 17 years and fraudulently collecting pay for the time off. DiNapoli and Fisch said upper management looked the other way.

Dean didn’t immediately respond to a request for comment Tuesday morning.

Copyright © 2010 The Associated Press. All rights reserved.

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