Influences on Global Food Supply Flashcards
factors
trade restrictions
government policies
ownership concentration within the industry
natural disasters and loss of infrastructures
land ownership
trade restrictions
○ Embargoes are complete bans on products
§ Fish with high mercury
§ No meat or dairy to Russia from UN
○ Subsidy is a cash payment from the government to local producers so they can charge consumers less
○ Tariff is a tax placed on goods transported from one customs area to another which increases the price of this item
Wine from other countries
government policies
○ Free trade agreement meaning food becomes cheaper due to no taxes
§ Food from New Zealand has no added tax on them
○ Fair trade supports the producers
Cadbury’s chocolate
ownership concentration within the industry
○ Woollies and Coles
No or little competition
natural disasters and loss of infrastructures
○ Droughts, floods, fires can wipe out crops leading to smaller yields and higher costs
○ These can also damage roads and other infrastructure that is required to distribute and store the food and therefore these areas may not be able to access food
Rail between Perth and Adelaide was flooded for 6-8 weeks
land ownership
○ Multinational companies buy up large pieces of arable (growable) land in countries facing food insecurity then export it all
○ Previously owned by families and they are left uncompensated and unable to purchase the food grown due to the cost
○ Used for cash crops that give large profits/returns
§ Coffee
Cotton
acronym
gt(f)oon