Business information on the financial crisis, the flow of investment in the agricultural sector

NEW DELHI: the global crisis in the sector credit crunch that raises the declining flow of investment and growth in production in the agricultural sector, although some customers may lead to get some relie
f in the form of lower food prices as demand plunged due to the stock that has not been exhausted.


NEW DELHI: the global crisis in the sector credit crunch that raises the declining flow of investment and growth in production in the agricultural sector, although some customers may lead to get some relie
f in the form of lower food prices as demand plunged due to the stock that has not been exhausted.

A financial crisis depresses demand leading to lower food prices, but the flip side can prevent a credit crunch investment in the agricultural sector so that affect the growth and production, said experts.

Top views on the global food crisis and financial markets, the International Food Policy Research Institute (IFPRI) Director General Joachim von Braun said in a statement that the burgeoning financial crisis the world has been "to encourage attention from the policy side from the threat of increased food prices, but global food crisis that is far from over. "

"Financial crisis and reduce the demand for speculative activities, leading to lower prices of food, and this can provide assistance to poor consumers.

"At the same time, however, prevent a credit crunch accelerated the flow of capital for long-term investment in sectors such as agriculture, as this investment is also needed. This undermine the growth of production that is more resilient to the global food system," said Braun.

He also that the food crisis continues to threaten the food security and nutrition of poor people in the world.

Shows that the global pattern of low investment in agriculture, research and development has been contributing to slow growth in agricultural productivity, he said: "Unless the world address this challenge, livelihoods and food security of millions of poor people, as well as economic, ecological, and political situation in many developing countries, will remain at risk.

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