Aug 28


The French foreign affairs minister, Bernard Kouchner, said sanctions were ‘being considered’. Photograph: Gerard Cerles/AFP/Getty Images

European Union leaders will discuss sanctions against Russia ahead of an emergency summit meeting, the French foreign minister said today, as western leaders increased diplomatic pressure on Moscow.

When asked what measures the west could take against Russia in the crisis over Georgia, Bernard Kouchner told a press conference in Paris: “Sanctions are being considered.”

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Aug 26

Attempts to isolate and punish Russia for its military actions in Georgia will backfire, given Russia’s economic muscle and key role in mediating international disputes, senior Russian officials said Friday.

Top officials in President George W. Bush’s administration have said Russia’s continued military presence in Georgia could jeopardize its membership in the Group of Eight and its bid to join the World Trade Organization, among other things.

“We are a big economy today,” said Vladislav Reznik, chairman of the State Duma Financial Markets Committee. “Whether they like it or not, we have to be reckoned with.”

Yevgeny Fyodorov, chairman of the Duma’s Economic Policy and Entrepreneurship Committee, was even more blunt.

“It’s a political bluff,” he said. “It’s an absolute certainty that the Americans won’t [impose any sanctions] because they themselves would suffer.”

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Jul 08

As the food crisis began to bite, the rumblings of discontent grew louder. Finally, after a day of discussing food shortages and soaring prices, the famished stomachs of the G8 leaders could bear it no longer.

The most powerful bellies in the world were last night compelled to stave off the great Hokkaido Hunger by fortifying themselves with an eight-course, 19-dish dinner prepared by 25 chefs. This multi-pronged attack was launched after earlier emergency lunch measures - four courses washed down with Château-Grillet 2005 - had failed to quell appetites enlarged by agonising over feeding the world’s poor.

The G8 gathering had been seen as a “world food shortages summit” as leaders sought to combat spiralling prices of basic foodstuffs in the developed world, and starvation in the developing world.

But not since Marie Antoinette was supposed to have leaned from a Versailles palace window and suggested that the breadless peasants eat cake can leaders have demonstrated such insensitivity to daily hardship than at the luxury Windsor hotel on the Japanese island of Hokkaido.

After discussing famine in Africa, the peckish politicians and five spouses took on four bite-sized amuse-bouche to tickle their palates. The price of staple foods may be soaring, but thankfully caviar and sea urchin are within the purchasing power of leaders and their taxpayers - the amuse-bouche featured corn stuffed with caviar, smoked salmon and sea urchin, hot onion tart and winter lily bulb.

Guests at the summit, which is costing £238m, were then able to pick items from a tray modelled on a fan and decorated with bamboo grasses, including diced fatty tuna fish, avocado and jellied soy sauce, and pickled conger eel with soy sauce.

Hairy crab Kegani bisque-style soup was another treat in a meal prepared by the Michelin-starred chef Katsuhiro Nakamura, the grand chef at Hotel Metropolitan Edmont in Tokyo, alongside salt-grilled bighand thornyhead (a small, red Pacific fish) with a vinegary water pepper sauce.

They have told their people to tighten their belts for lean times ahead, but you feared for presidential and prime ministerial girdles after the chance to tuck into further dishes including milk-fed lamb, roasted lamb with cepes, and black truffle with emulsion sauce. Finally there was a “fantasy” dessert, a special cheese selection accompanied by lavender honey and caramelised nuts, while coffee came with candied fruits and vegetables.

Leaders cleverly skated around global water shortages by choosing from five different wines and liqueurs.

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Jul 07

LONDON (AFP) - Biofuels have caused world food prices to increase by 75 percent, according to the findings of an unpublished World Bank report published in The Guardian newspaper on Friday.

The daily said the report was finished in April but was not published to avoid embarrassing the US government, which has claimed plant-derived fuels have pushed up prices by only three percent.

Biofuels, which supporters claim are a “greener” alternative to using fossil fuel and cut greenhouse gas emissions, and rising food prices will be on the agenda when G8 leaders meet in Japan next week for their annual summit.

The report’s author, a senior World Bank economist, assessed that contrary to claims by US President George W. Bush, increased demand from India and China has not been the cause of rising food prices.

“Rapid income growth in developing countries has not led to large increases in global grain consumption and was not a major factor responsible for the large price increases,” the report said.

Droughts in Australia have also not had a significant impact, it added. Instead, European and US drives for greater use of biofuels has had the biggest effect.

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The European Union has mooted using biofuels for up to 10 percent of all transport fuels by 2020 as part of an increase in use of renewable energy.

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Jun 02


A child carries a tray of bread in Cairo. Photograph: Nasser Nuri/Reuters

World leaders are to meet next week for urgent talks aimed at preventing tens of millions of the world’s poor dying of hunger as a result of soaring food prices.

The summit in Rome is expected to pledge immediate aid to poor countries threatened by malnutrition as well as charting longer-term strategies for improving food production.

Hosted by the UN’s Food and Agriculture Organisation, it will hear calls for the establishment of a global food fund, as well as for new international guidelines on the cultivation of biofuels, which some have blamed for diverting land, crops and other resources away from food production.

The urgency of the meeting follows historic spikes in the price of some staple foods. The price of rice has doubled since January this year, while the cost of dairy products, soya beans, wheat and sugar have also seen large increases.

The world’s urban poor have been hit hardest, sending a wave of unrest and instability around the world. Thirty-seven countries have been hit by food riots so far this year, including Cameroon, Niger, Egypt and Haiti.

The Rome summit is the first of a series of high-level meetings aimed at tackling what many leaders now see as a much bigger threat to international stability than terrorism.

A fortnight after the UN meeting, the EU council will focus much of its time on the food crisis. A ministerial meeting of the World Trade Organisation in late June will make a last-ditch attempt in Geneva at agreeing the lowering of international trade barriers, with the aim of cutting food prices and making it easier for farmers in poor countries to export their produce.

Food and climate change will also be the twin top themes of the G8 summit in Japan in early July, and then in September a UN summit will attempt to put the world back on course towards meeting the millennium development goals, agreed eight years ago, one of which was the halving of the number of the world’s hungry. Continue reading »

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May 04

Speculators blamed for driving up price of basic foods as 100 million face severe hunger

Giant agribusinesses are enjoying soaring earnings and profits out of the world food crisis which is driving millions of people towards starvation, The Independent on Sunday can reveal. And speculation is helping to drive the prices of basic foodstuffs out of the reach of the hungry.

The prices of wheat, corn and rice have soared over the past year driving the world’s poor - who already spend about 80 per cent of their income on food - into hunger and destitution.

The World Bank says that 100 million more people are facing severe hunger. Yet some of the world’s richest food companies are making record profits. Monsanto last month reported that its net income for the three months up to the end of February this year had more than doubled over the same period in 2007, from $543m (£275m) to $1.12bn. Its profits increased from $1.44bn to $2.22bn.

Cargill’s net earnings soared by 86 per cent from $553m to $1.030bn over the same three months. And Archer Daniels Midland, one of the world’s largest agricultural processors of soy, corn and wheat, increased its net earnings by 42 per cent in the first three months of this year from $363m to $517m. The operating profit of its grains merchandising and handling operations jumped 16-fold from $21m to $341m.

Similarly, the Mosaic Company, one of the world’s largest fertiliser companies, saw its income for the three months ending 29 February rise more than 12-fold, from $42.2m to $520.8m, on the back of a shortage of fertiliser. The prices of some kinds of fertiliser have more than tripled over the past year as demand has outstripped supply. As a result, plans to increase harvests in developing countries have been hit hard.

The Food and Agriculture Organisation reports that 37 developing countries are in urgent need of food. And food riots are breaking out across the globe from Bangladesh to Burkina Faso, from China to Cameroon, and from Uzbekistan to the United Arab Emirates. Continue reading »

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Apr 19

Leading players in talks to forge a pact for tackling climate change took the lash on Thursday to President George W. Bush’s new blueprint for global warming, with Germany mocking it as “Neanderthal.”

At a ministerial-level meeting of major carbon emitters, South Africa blasted the Bush proposal as a disastrous retreat by the planet’s number-one polluter and a slap to poor countries.

The European Union — which had challenged the United States to follow its lead on slashing greenhouse-gas emissions by 2020 — also voiced disappointment.

His proposals “will not contribute to the fight against climate change,” EU Environment Commissioner Stavros Dimas told AFP, adding he hoped the US would “reconsider its options and policies.”

“Time is running out and we have the duty to reach an agreement in Copenhagen in 2009,” said Dimas.

Germany accused Bush of turning back the clock to before last December’s UN climate talks in Bali and even to before last July’s G8 summit.

In a statement entitled “Bush’s Neanderthal speech,” German Environment Minister Sigmar Gabriel said: “His speech showed not leadership but losership. We are glad that there are also other voices in the United States.” Continue reading »

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Apr 07

BANGKOK - Developing countries and environmental groups accused the World Bank on Friday of trying to seize control of the billions of dollars of aid that will be used to tackle climate change in the next four decades.

“The World Bank’s foray into climate change has gone down like a lead balloon,” Friends of the Earth campaigner Tom Picken said at the end of a major climate change conference in the Thai capital.

“Many countries and civil society have expressed outrage at the World Bank’s attempted hijacking of real efforts to fund climate change efforts,” he said.

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