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Submitted by sarah on
Reasons for rising food prices are diverse and interrelated. The industrialization of China and India created a growing demand for oil drove up the prices of the most important components of agricultural products such as gasoline, engine oil, fertilizers and pesticides. Expensive fuel increases the cost of transporting food to markets. The increasing emission of gases in the atmosphere causes the greenhouse effect, which in turn leads to flooding, desertification of arable land and weather, causing enormous damage to crops. For example, the heavy rains killed tens of thousands of acres of fertile land in North Korea. The growing demand for oil pushed to re agribusiness lands under cultivation of ethanol production, while reducing the volume of grain delivered to the market, going to food for people and livestock. Finally, the growing standard of living in China and India leads to an increase in demand for food.