‘Lack of proper distribution causes food crisis’

from the Financial Express

ASHOK B SHARMA

The present food crisis is due to lack of proper distribution and the trading system impeding free flow of food, according to the vice chairman of International Chamber of Commerce (ICC), Victor Fung.

He said that as a short-term measure it was essential to address the problem of distribution and as a long-term strategy the global community should take up measures for raising the productivity of food crops to feed the rising population. “There is also a need to review the bio-fuel programme which uses food crops for fuel and displaces food crops for cultivation of non-food crops for fuel,” he said.

He also said that the world has to work out strategies for efficient use of energy.

Fung who is the chairman, of the Li & Fung group of Companies, which includes major subsidiaries in trading, distribution and retailing, also addressed the industry at a meeting organised by Ficci on Monday He also is the chairman of the Greater Pearl River Delta Business Council, Hong Kong Airport Authority and Hong Kong University Council.

Fung also said that China was also facing the challenges of rising prices, growing disparity in incomes, environmental problems and weak infrastructure. “There is a debate in China on how to address these challenges. That the Chinese government cares for its people is evident from its rapid response following the earthquake in Sichuan,” he said.

He called for a free and fair multilateral trade for addressing the problems of global poverty. He said that bilateral trade and free trade agreements between countries and trading blocks cannot be a substitute for a meaningful free and fair multilateral trade. He said that there was a need to see that anti-dumping measures under WTO do not lead to protectionism.

He proposed that Indian Companies can invest in IT sector in China. He said that Chinese production will continue to move offshore in Asian, African and Latin American countries.