From poverty to power - Oxfam-Québec

4 RISK AND VULNERABILITY HUNGER AND FAMINEother rich countries to divert maize and other production into makingbiofuel (see Part 3, page 131). The US ethanol boom accounted forover half of the net decline in world cereal stocks in 2007. 45Rising prices hit poor countries hardest and, within those countries,poor people, who tend to spend a greater share of their incomeon food. They also, of course, benefit farmers, depending on whatproportion of the higher prices reaches them through the value chain.The timing of the price reversal was particularly harsh, since acombination of structural adjustment, population growth, and tradeliberalisation has moved the poorest countries from a situation ofbeing in food surplus in the 1970s to being heavily dependent on foodimports. 46 By 2005, Sierra Leone and Haiti were spending 80 per centand 63 per cent respectively of their available export revenue on foodimports. 47 High prices are therefore likely to lead to rising borrowing,risking a new debt crisis, or increased hunger. Already, food priceshave been blamed for triggering the crisis in the Sahel countries in2005, and food riots have broken out in Mexico, Morocco, Uzbekistan,Yemen, Guinea, Mauritania, and Senegal. 48At the time of writing, the trend looks set to continue. Barringunforeseen technological breakthroughs, food prices are likely to stayhigh, greatly increasing the vulnerability of poor countries, and poorpeople within them.CITIZENS AND STATESReducing hunger, like mitigating the impact of natural disasters,requires action by the state and self-help by hungry people. 49 The statecan intervene to improve livelihoods or head off a crisis, can put inearly-warning systems to spot signals such as spiralling food pricesand, if necessary, can provide food or other forms of social protection.Poor people themselves are best placed to anticipate problems infeeding their families, and to urge authorities to act.The Nobel Prize-winning Indian economist Amartya Sen wrote:‘No famine has ever taken place in the history of the world in afunctioning democracy.’ 50 Sen pointed out that, since achievingindependence in 1947, India has not had a single famine, even in theface of severe crop failures. When food production was hit hard during227