Ukraine conflict
Foodwatch: Limits against financial bets on agricultural products
According to consumer organization Foodwatch, financial bets are driving up farm prices. Photo: Channi Anand/AP/dpa
© dpa-infocom GmbH
“Gambling” – The consumer organization Foodwatch criticizes price-boosting financial bets in view of the impending hunger crises. The agricultural markets are currently tense due to the Ukraine war.
In view of the tense agricultural markets resulting from the Ukraine war, the consumer organization Foodwatch is calling for stronger barriers to price-driving financial bets.
In view of the looming hunger crises in some countries, “gambling” on agricultural commodity prices is unbearable, said Foodwatch strategy director Matthias Wolfschmidt. “Transparency is needed about who has which grain reserves – this is the only way to counter the fear of shortages.” The EU must set effective speculation limits and thus end bets on rising prices.
Financial Industry: Winners of the Russian War of Aggression
Prices rose because companies and governments feared they could no longer buy enough wheat, sunflower oil or other staples, Wolfschmidt said. Financial speculators fueled this further by betting on rising prices on commodity exchanges. The financial industry is already a winner of the Russian war of aggression, criticized Foodwatch. Regulators in the EU and US continued to lack effective tools to limit speculation.
The German Farmers’ Association turned against blanket criticism of agricultural speculation. This is populist because it is a risk hedge for farmers for their harvests, said Deputy Secretary General Udo Hemmerling of the daily newspaper “taz” (Tuesday). It is currently about hedging against sharply increased costs for fertilizers and fuels.
agreement in the coalition agreement
In the coalition agreement, the SPD, Greens and FDP agreed: “We want to limit speculation with food by lowering the position limits at European level.”
The co-speaker of the Parliamentary Left in the SPD parliamentary group, Matthias Miersch, said: “Food speculation must be stopped, even if it is not legally trivial.” He warned that parts of the world were headed for starvation. “The right to food is a fundamental human right.” Action must now be taken at all political levels.