food security & challenges 2010

Food Security & Challenges

Faced by Food Industry

Nik Ismail Nik Daud

UKM Holdings Sdn Bhd/

Malaysian Institute of Food Technology

[email protected]

Paper Presented at the Food Science Student Annual Seminar, Universiti Malaysia Terengganu,

Kuala Terengganu, 19 March 2010

content

• Introduction

– Hunger Statistics

– Elements of Food security

• Factors affecting or aggravating food insecurity

• National Food Security Policy• National Food Security Policy

• Managing food insecurity by Industry

• Role of food science and technology

• Food science students and food security

GLOBAL HUNGER 1

925 million people do not have enough to eat - more than the populations of USA, Canada and the European Union;

FACTS and FIGURES

(Source: FAO news release, 14 September 2010)

GLOBAL HUNGER 2

98 percent of the world's hungry live in developing countries;

FACTS and FIGURES

(Source: FAO news release, 2010)

GLOBAL HUNGER 3

Asia and the Pacific region is home to over half the world’s population and nearly two thirds of the world’s hungry people;

FACTS and FIGURES


GLOBAL HUNGER 4

Women make up a little over half of the world's population, but they account for over 60 percent of the world’s hungry.

FACTS and FIGURES

(Source: Strengthening efforts to eradicate

hunger..., ECOSOC, 2007)

GLOBAL HUNGER 5

65 percent of the world's hungry live in only seven countries: India, China, the Democratic Republic of Congo, Bangladesh, Indonesia, Pakistan and Ethiopia.

FACTS and FIGURES

Ethiopia.


CHILD HUNGER 1

More than 70 percent of the world's 146 million underweight children under age five years live in just 10 countries, with more than 50 per cent located in South Asia alone;

FACTS and FIGURES

South Asia alone;

(Source: Progress for Children: A Report Card on

Nutrition, UNICEF, 2006)

CHILD HUNGER 2

10.9 million children under five die in developing countries each year. Malnutrition and hunger-related diseases cause 60 percent of the deaths;

FACTS and FIGURES

(Source: The State of the World's Children,

UNICEF, 2007)

CHILD HUNGER 3

The cost of under-nutrition to national economic development is estimated at US$20-30 billion per annum;

FACTS and FIGURES

(Source: Progress for Children: A Report Card on

Nutrition, UNICEF, 2006)

CHILD HUNGER 4

Every year WFP feeds more than 20 million children in school feeding programmes in some 70 countries. In 2008, WFP fed a record 23 million children.

FACTS and FIGURES

children.

(Source: WFP School Feeding Unit)

MALNUTRITION 1

It is estimated that 684,000 child deaths worldwide could be prevented by increasing access to vitamin A and zinc

FACTS and FIGURES

(Source: WFP Annual Report 2007)

MALNUTRITION 2

Undernutrition contributes to 53 percent of the 9.7 million deaths of children under five each year in developing countries.

FACTS and FIGURES

(Source: Under five deaths by cause, UNICEF, 2006)

MALNUTRITION 3

Lack of Vitamin A kills a million infants a year

(Source: Vitamin and Mineral Deficiency, A Global

Progress Report, UNICEF)

FACTS and FIGURES

Progress Report, UNICEF)

MALNUTRITION 4

Iron deficiency is the most prevalent form of malnutrition worldwide, affecting an estimated 2 billion people. Eradicating iron deficiency can improve national productivity levels by as much as 20 percent.

FACTS and FIGURES

(Source: World Health Organization, WHO Global

Database on Anaemia)

MALNUTRITION 5

Iron deficiency is impairing the mental development of 40-60 percent children in developing countries


FACTS and FIGURES


Progress Report, p2, UNICEF)

MALNUTRITION 6

Vitamin A deficiency affects approximately 25 percent of the developing world’s pre-schoolers. It is associated with blindness, susceptibility to disease and higher mortality rates. It leads to the death of approximately 1-

FACTS and FIGURES

mortality rates. It leads to the death of approximately 1-3 million children each year.

(Source: UN Standing Committee on Nutrition. World

Nutrition Situation 5th report. 2005)

MALNUTRITION 7

Iodine deficiency is the greatest single cause of mental retardation and brain damage. Worldwide, 1.9 billion people are at risk of iodine deficiency, which can easily be prevented by adding iodine to salt

FACTS and FIGURES

be prevented by adding iodine to salt

(Source: UN Standing Committee on Nutrition. World

Nutrition Situation 5th report. 2005)

FOOD & HIV/AIDS 1

In the countries most heavily affected, HIV has reduced life expectancy by more than 20 years, slowed economic growth, and deepened household poverty.

FACTS and FIGURES

poverty.

(Source: 2008 UNAIDS Global Report on the AIDS

Epidemic)

FOOD & HIV/AIDS 2

In sub-Saharan Africa alone, the epidemic has orphaned nearly 12 million children aged under 18 years.

FACTS and FIGURES

(Source: 2008 UNAIDS Global Report on the AIDS

Epidemic).

FOOD & HIV/AIDS 3

WFP and UNAIDS project that it will cost on average US $0.70 cents per day to nutritionally support an AIDS patient and his/her family.

FACTS and FIGURES

(Source: Cost of Nutritional Support for HIV/AIDS

Projects, WFP, July 2008)

FOOD & HIV/AIDS 4

Assistance for orphans and vulnerable children is estimated at US$0.31 per day.


FACTS and FIGURES


Projects, WFP, July 2008)

FOOD SECURITY

Availability

Accessibility

UtilizationFOOD SECURITY

Utilization

Stability

FAO 2006

Levels of Food Security

Individual Household National Regional Global

Terms Related to Food Security

Nutrition Security meeting all nutritional needs

Food Insecurity ability to acquire is limited or uncertainFood Insecurity ability to acquire is limited or uncertain

Under-nourishment not meeting nutritional needs

Malnutrition deficiencies, excesses or imbalances

Hunger pain due to lack of food

Food Security

Happens when all people and at all times have access to enough food that are:

– affordable, safe and healthy

– culturally acceptable– culturally acceptable

– meets specific dietary needs

– is obtained in a dignified manner

– is produced in ways that are environmentally sound and socially just

Factors Contributing or Aggravating Food Insecurity

Continuous increase in

world population

Agriculture land is decreasing

Increase Food pricesPoverty

Aggravating Food Insecurity

Climate ChangeNatural Calamities

Rise of oil price

Biofuel production

Wars & Conflicts

World trade rules

Continuous increase in world

population mostly in poorest and least

developed countries

Year World population (Billion)

1950 2.5

2000 6.5

2011 7.0

2050 9.0

Housing, urbanization, roads, soil erosion,

Agriculture land is Decreasing

roads, soil erosion, expansion of desert, water crisis

Climate Change

Natural Calamities

Volcano eruptions in Indonesia 2010

Volcano eruptions

in Indonesia 2010

Natural Calamities

Flooding in Australia 2011

Draught

in India

1999

Draught in China 2009

Rise of oil price

Biofuels production

Environmentalist promote biofuel to reduce pollution but plantations reduce farm crops reduce farm crops - Corn, sugarcane, oilpalm, jatropha

WARS & CONFLICTS (2009)

Increase Food prices

Country Rice Production

(million mt/year)

• China 166 (32.7%)

• India 132 (26.0%)

• Indonesia 52 (10.2%)

• Bangladesh 38 (7.5%)

• Vietnam 36 (6.8%)• Vietnam 36 (6.8%)

• Thailand 27 (5.3%)

• Myanmar 24 (4.8%)

• Philippines 14 (2.8%)

• Brazil 10 (2.0%)

• Japan 9.7 (1.9%)

FAO

Rice is one of top grains consumed but only 6-7% of production globally traded. ( wheat 20%, corn 11%, soya bean 35%)

Grain importers

% total household expenditure on food

• US 7

• Britain 9

• Pakistan 46

• Kenya 45

Poverty

• Britain 9

• Australia 11

• Malaysia 6-15

• Kenya 45

• Indonesia 43

• Nigeria 40

• Egypt 38

USDA

World trade rules

– Free market monopolised by huge corporations affecting local market and producersproducers

– Subsidies to western farmers• US provide US$300bil subsidy

• OECD provide ~US$20,000/farmer/year

– Develop trade barriers

Malaysia’s Food Security Initiatives

• National food security policy formulated in 2008 following the world food crisis

• RM3billion was allocated (2008-2010)

• objectives are:• objectives are:

– Increase output and productivity of agro-food sector to SSL

– Enough food of quality and safe to consume

– Promote agriculture entrepreneurship

MoA

Paddy and Rice Programs in NFS

Policy

• Agriculture inputs subsidy:

Irrigation, pest control, fertilizers, land levelling, lime application, mechanization, miller subsidy, productivity incentives, etcmiller subsidy, productivity incentives, etc

• Subsidized 15% broken rice

• Promote R&D to increase productivity

• Increase stockpile level from 92k to 239k MT.

Tey 2010

For 2011, MoA was allocated RM2.77 billion to:

• Help farmers to increase rice production

• Ensure adequate supply of rice in the marketmarket

• Develop large scale aquaculture zone

• Expand livestock breeding-oil palm plantation integration

Bernama Jan 10, 2011

Malaysia announces plans to boost rice production, RM1billion earmarked

http://oryza.com/Asia Pacific/Malaysia, posted on Apr 2008

Indonesia and Malaysia look to cooperate on food security in ASEAN

The Jakarta Post, March 08, 2011

Malaysia Targets 45-Day Rice Stockpile, Food Security (Update 1) so that foodstuff remains affordable for all

Food security will be strategically addressed under Food security will be strategically addressed under 10th Malaysia Plan

Bloomberg Businessweek, June 10, 2010

Raw material supply for local industry

• We do not produce enough for the industry

• We are a net importer of food even during normal times

• Industry has little control over prices of • Industry has little control over prices of imports

• Generally we are not a low cost producer

• The situation worsens in times of uncertainty in supply

Foods we bring in

�In 2008, Malaysia's food imports totaled RM28

billion.

� Major food imports were cereal and cereal

preparations, cocoa, vegetables and fruits, dairy

products and animal feed.

� Malaysia imports 70-80% of its beef and 90% of its � Malaysia imports 70-80% of its beef and 90% of its

mutton requirements.

� Raw materials such as cereals and dairy products

will continue to be imported for further

processing for human consumption as well as for

the production of animal feed.

� 70 per cent of its food ingredient requirement are

imported

Managing food security by industry

• Secure long term arrangement with suppliers

– Manufacturer – farmers partnership

– Acquisition of primary producers– Acquisition of primary producers

• Apply food supply chain management tools

• Adopt appropriate operation management approach

processingsupplierMany suppliers

Manufacturing facility

processing

RM inventory FP inventory

Customers

A

Supply Chain Management

fFew suppliers

Manufacturing facility

processing Outbound Logistic Customers

B

Supply Chain Management

Managing food security by industry (and

government)

aims to increase the content of value-added activities in any given process

Role of Food Science and Technology

• Factors contributing to food insecurity ( current and future) are many and multi-dimensional

• Many of these factors cannot be controlled • Many of these factors cannot be controlled or solved by FST alone

• But food insecurity cannot be solved without the contribution of FST.

Fighting food insecurity

Role of

FOOD SCIENTISTS &

GOVERNMENTAGENCIES

INDUSTRY

UNIVERSITY/RESEARCH INSTITUTES

FOOD SCIENTISTS &

TECHNOLOGISTSINTERNATIONALAGENCIES

ADVOCATE GROUPS

CONSUMER ASSOCIATIONS

SCIENTIFIC NGOs

Role of Food Sci & Technologist

• Reduce waste throughout supply chain

• Make food more shelf-stable and retain nutritional value

• Ensure food are safe and fulfill nutritional needs of all individualsof all individuals

• Produce food which are culturally/socially/ religiously acceptable

• Develop food and processes during crisis

• Develop production systems that are environmentally sustainable.

Role of Food Sci & Technologist

• Improve or adapt traditional food and processes to exploit locally available resources

• To develop alternative staple food to reduce over-dependence on a single commodity.

• Develop and apply new S&T to improve food safety, quality and processes e.g. nanotechnology, quality and processes e.g. nanotechnology, biotechnology, etc

• To improve functionality of food

• Education in FS&T to all stakeholders

• Contribute in decision making affecting food security

IUFoST delegates recognise the indispensable

role of food science and technology in eliminating

or reducing food insecurity worldwide

• Promotion of the safety and quality of all foods

• Reduction of physical and nutritional losses in the food value chain

• Adaptation and improvement of traditional foods and processes, while respecting the traditional, ethical, cultural and religious aspects involved

• Beneficial application of science and technology • Beneficial application of science and technology

• Development and dissemination of improved knowledge of food composition

• Facilitation of domestic and international food trade

• Development of food materials with improved functionality

• More efficient and environmentally sustainable food production, processing and packaging

• Education in nutrition, food science and technology at all levels

15th World Congress in Food Science & Technology 2010

For FST Students and Food Security

• Improve understanding on the complexity of food security

• Involve in voluntary work to fight food insecurity• Involve in voluntary work to fight food insecurity

• Organize or participate in public awareness programs on food security

Conclusion

Thank you