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Biofuels and food security

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  • Koizumi, Tatsuji

Abstract

One of the most crucial problems with increasing biofuel production is that it competes for natural and agricultural resources with food and food related use, because its main feedstock is agricultural product. Increasing biofuel production therefore is going to have an impact on world agricultural commodity prices and food security. The purpose of this study is to conduct an economic analysis of increasing biofuel production on food security. The own price elasticities of supply equations in the long-term are the key to deciding agricultural commodity price adjustments as a result of an increase in biofuel production. Biofuel production may have a negative impact on food security, but on the other hand they can create opportunities for agricultural development. It is critical to understand that own price elasticity of feedstock supply is a key factor in deciding how biofuel development can contribute agricultural development. Policy makers should recognize the importance of the price elasticity of feedstock supply when they promote biofuel programs and select feedstock to contribute to agricultural development.

Suggested Citation

  • Koizumi, Tatsuji, 2015. "Biofuels and food security," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 829-841.
    • Handle: RePEc:eee:rensus:v:52:y:2015:i:c:p:829-841
    DOI: 10.1016/j.rser.2015.06.041
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