U.S. drought could pinch world's poor, says think tank IFPRI

Reuters
Mon Aug 6, 2012 4:14pm EDT

* Ethanol mandates "must be cut substantially"
* U.S. is major corn, wheat, soybean exporter
* Urges using stockpiles in emergencies, avoiding export bans
WASHINGTON, Aug 6 (Reuters) - Drought in the U.S. farm belt may result in higher prices for poor people around the world, according to the head of an agricultural think tank who on Monday also recommended a halt to ethanol production from corn.

Shenggen Fan, director general of the International Food Policy Research Institute, said the global spike in food prices in 2008 showed how poor crops and tight supplies have wide impact. I FP RI is the analytical arm of a coalition of agricultural research facilities.

Fan suggested six steps to rein in prices and head off out-of-control prices caused by this year's drought.

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