The production of biofuels, climate change and demand by richer consumers in developing nations is likely to cause food prices to increase for a number of years according to the report, ‘World Food Situation’ released by the Food Policy Research Institute.

Production of biofuels alone could lead maize prices to climb by more than two-thirds by 2020. Price volatility is further being fuelled by growing investor interest in commodity markets and global cereal and energy prices are becoming more closely linked. Oil prices of around US$90 a barrel mean that the tripling of wheat prices and near-doubling of rice prices since 2000 are not a thing of the past.

The report suggests that food security could be improved by greater investments in agricultural technology, ending trade barriers, a stronger social welfare net focusing on children and improved infrastructure and finance opportunities in less-developed countries.