The European Union Research Institute Says Biofuels Policy Will Push Up Food Prices By 50%

The latest research on EU joint research center shows that if there is no EU biofuels policy support, by 2020, the European vegetable oil and other food prices will be lower than the current 50%, while other countries in the world the price will be low 15%. The report concluded that the main reason is that 60% of vegetable oil production is palm oil and soybean oil, such as these vegetable oils are more used in biofuels, the relative scarcity of resources will push up food prices. For the EU, the proportion of its vegetable oil production for biofuels is much larger than the rest of the world, therefore, the impact of changes in its biofuel policy on its own food prices will be greater. The report also analyzed that if the EU maintains constant current policy, world food prices will not change significantly if the target yield cap, food prices will decline by 8%, if the abolition of biofuels policy food prices will drop 15%.