United Nations Radio

Biofuel policies and subsidies should be urgently reviewed in order to preserve the goal of world food security, protect farmers, promote broad-based rural development and ensure environmental sustainability.

The call comes in a new report by the Food and Agriculture Organization titled "The State of Food and Agriculture 2008."

FAO Analyst Keith Wiebe says in the short run, to protect against the adverse impacts of biofuels and rising food prices, it is essential to protect the food, the poor and the food insecure, not simply through food assistance, to targeted cash transfer programmes but by protecting the access of poor households to resources that they could use to increase production and benefit from higher prices.

"Now more than at any time in recent years, it is essential to invest in agriculture and the incentives are there not jus for public investment for also for private investment - investment in improved seed varieties, investment in infrastructure, investment in institutions, investment in system to strengthen and protect the property rights of poor households."

Meanwhile, FAO Director-General Jacques Diouf said biofuels present both opportunities and risks, explaining that the outcome would depend on the specific context of the country and policies adopted.

He said opportunities for developing countries to take advantage of biofuel demand would be greatly advanced by the removal of the agricultural and biofuel subsidies and trade barriers.

This is Donn Bobb reporting for United Nations Radio.

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