One sure-shot way of capturing someone’s attention is keeping them hooked on resources. Nothing shouts more submission than a stomach devoid of nutrients. Just like they did in the last few centuries, western countries have found a new way to make erstwhile third world countries reliant on them. Through WTO, these countries are kept hungry to ensure that they do not develop an independent policy of their own.
Nirmala Sitharaman asks WTO to liberalise
Finance Minister Nirmala Sitharaman has come all guns blazing over the WTO for not ensuring food to the hungry stomach of the globe. During her speech at a seminar on ‘Strengthening global collaboration for tackling food insecurity’ in Bali, Indonesia, she again asked WTO to liberalise food grain export regime. Currently, WTO regulations do not allow its members to export food procured through public distribution system. The height of absurdity is the reason for not allowing exports because they are procured at subsidised rates. In other words, WTO says that if a government makes foodgrains cheaper for its population then it can’t export the same foodgrain to the rest of the world.
On the sidelines of the third G20 Finance Ministers and Central Bank Governors (FMCBG) meeting in Bali, Indonesia, Sitharaman said, “WTO restriction that grains so procured cannot be brought to the market to export. It is a condition which exists from the Uruguay Round days. We have repeatedly said that what we have for our small farmers…we are quite willing to trade,…”
There is enough production
In one way or another, most of the multilateral organisations dominated by Western powers are hypocritical, but WTO’s absurdity has larger ramifications on the globe as a whole. The multilateral trade forum is doing everything except liberalising trade regime, which is its original mandate. It’s bizarre rulings on food security are the main examples of that.
Rice, wheat and corn are three main staple foods which people all over the world need in order to fulfil their minimum nutritive needs. According to an estimate by data churning website Statista, in the year 2021/22, all three grains have a combined output of 2,494 million metric tones, with corn dominating the basket through its nearly 50 per cent share.
Unevenness in production and distribution
In spite of such humongous production of grains, world is suffering from huger crisis. According to a report titled “The State of Food Security and Nutrition in the World”, released by the United Nations, more than 2.3 billion people found it difficult to fulfil their nutrition requirement in 2021. It is pertinent to note that the data was prepared before the Ukraine-Russia crisis kicked in. The situation is grimmer for over 345 million people, as they are approaching starvation. Moreover, 50 million people in 45 countries are facing the risk of famine.
It is clear that the problem is not the production of crops. The individual breakdown of these crops makes it more clear. More than 70 per cent of corn production is dominated by only 6 countries. Similarly, according to a data by World Economic Forum, nearly 85 per cent of rice available in global market is produced only by 10 countries. The same in favour of few countries has percolated to what production as well. India, China, Russia, Ukraine and few other countries dominate wheat production. Apparently, India is in the list of top producers of all these crops.
Peace clause is not the permanent solution
So, the main problem is redistribution. The world has not been able to come across terms of trade, all thanks to the WTO. India desperately wants to feed the world. We are having foodgrains glut. In spite of running one of the largest free food security schemes of the world, our population is not enough to consume every food grain produced by us. Moreover, foodgrains rotting at FCI godowns in India is a phenomenon which is not recent.
But, WTO keeps telling us that even if food grains are destroyed, do not feed it to the hungry. Though, India is doing it by invoking peace clause, but it is not a permanent solution. WTO needs to rethink on its mandate and go back to basics.
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