Global food crisis, it?s reasons, effects and efficiency of responses to food crisis

Food prices started to increase in 2006 and in June 2008, some basic foods prices? reached their highest level for 30 years. This situation especially affected poor countries negatively and food security was threatened. Over 100 million people pushed into hungry nearly within a 1, 5 year. This economic situation was called ?food crisis? or ?food price crisis? as lots of people were affected in the world.There are lots of reasons contributed for food crisis. Increasing population in the world, high oil prices, new consumption pattern, underinvestment in agriculture, speculative investment are major of them. There is no consensus on the effect of those reasons among the institutions and economist. However, nearly everybody believes that the world faced with food crisis and it affected lots of poor people in the world. Apart form these, the most important reason of the food crisis is the lack of purchasing power in other word poverty.Food crisis mostly affected developing and less developed countries. Especially poor people living in those countries needed more support and help. As public expenditures rose for the reason of food crisis, countries had to overcome budget deficit. Those countries also needed international support for budget constraints.United Nations, World Bank, International Monetary Funds and Food and Agriculture Organizations are the major international institutions helped poor countries. World Bank and International Monetary Fund created billions of funds for decreasing the effect of food crisis. However, they were criticized that their policy? measures and rules were the real reasons of food crisis.If a country needs their help it obeys their rules. According to their rules; the role of the state should be minimized, privatization should be support, food subsidized, incentives and import tariffs should be eliminated. As those countries should decrease those kinds of support for their consumers and farmers, number of poor people and unemployment increased sharply. Agricultural production and people?s income decreased sharply. Food crisis have devastating effect on poor countries.Key Words1.Food Crisis2.Food Security3.Hungry4.International Monetary Funds5.World Bank