Food speculation

Great explanation of the cause of food speculation, rising food prices and as a result, increased hunger.

Food speculation mainly takes place at commodity derivatives exchanges, which are especially large in the US but also growing in the EU. Even though these exchange can have a value for agriculture, they can also be dangerous. Especially through increasing participation of finanical speculators like banks and funds, food prices more and more become a financial asset and an object of profit maximization. This can cause price distortions and increases – and thus hunger for millions. More information can be found in the article The speculator’s bread. Also many scientists, analysts and public institutions have come to the conclusion that speculation can negatively influcence commodity prices.


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