The Effect Of Biofuel Development On Developing-Country's Food Security

Bio-fuel has become the preferred renewable energy as crude oil prices rising and increasingly serious problem of environmental pollution. The countries in the world which using biofuel as renewable energy have taken measures to encourage the development of bio-energy industry. At present, the main bio-energy production countries are United States, Brazil, EU, China and so on. Various countries have made the long-term development planning of bio-energy.Projected to 2017, the output of biofuel in global will reach 30 billion tons. The main form of biofuel is bio-ethanol which is producted from corn, sugar cane, sugar beet and bio-diesel which is picked up from soybean, rapeseed. In this paper, we drew on the previous studies from the current development of bioenergy, bio-energy policy incentives and the prospect of bio-energy development, then analyzd the impact mechanism of liquid biofuels on the food security, discuss the impact of the development of liquid biofuels on agricultural products markets and prices, food security and did the econometrical analysis between biofuel yeilds and grain prices. The result of the empirical analysis showed that there exists smaller correlation coefficient between the prices of grains and biofuel yeild, but more important correlation with the importvolume of grains which the developing countries needed.Finally, we make a prediction about liquid biofuels on global food security(especially developing countries') in the future period. We can learn that the global bio-fuel develop-ment still remain strong through the forecast in the next 10 years, which has important impact on food security. Developing countries especially low-income food deficit countries will face more serious problems about food security. Food prices will continue to run on high position, intake of calories per capita will not improve too much, the number of undernourished people will reduce less.