Food vs. Fuel – a summary in the South African context
The two questions behind viable biofuel production have always been: Can we make it and can we sell it? At present, the answer is a double YES! Tremendous technological developments, both in producing the fuels and developing applications therefore, as well as global oil prices heading above $100 for a barrel, this is the time for biofuels to shine!In a Southern African context, the development of automotive fuel from plant material is seen as a facilitator of job creation – with especially bright prospects developing for subsistence farmers to move into commercial production of certain crops. The Southern African Biofuels Association (SABA) believes that the region needs to commit to programs helping to develop the biofuel industry due to its social and economic benefit.
However, returning to basic supply and demand theory, if such an industry is established locally, a growing demand for agricultural crops like sugar cane (for ethanol production) and sunflowers (for biodiesel production) will push up prices. Sure, that will be good for farmers. However, of critical concern is the interest in maize – a staple food for many a poor family in South Africa. If local prices are boosted by biofuel demand, these basic food goods might get priced out of the poor’s purchasing abilities.
This is, in short, what has become known as the food vs. fuel debate – security in food provision for the mostly poorer members of society against the security in fuel provision for the mostly richer members of society. For this reason, maize is not included in the government’s biofuel plan. A draft industrial strategy for the development of the local biofuel sector (released in December 2007) excludes it as a crop of choice for government-led initiatives.
Sources: Engineering News magazine
By Christie Viljoen
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what are the net gains and losses to society and the environment in particular if the governments in sourthern africa decide to embark on a fully fledged bio-fuel production program?