The food trade has existed for many centuries and has been practiced in all cultures since the beginning of agriculture and livestock farming. Mechanisms for production, commercialization and supply of food have been sold to us as a formula to solve the problem of global hunger. However, it has turned out to be a big trap.
Between the 70s and 90s of the last century, with the imposition of the neoliberal model, poor countries were forced to open their food markets and buy from developed countries. With the argument of “comparative advantages”, it was proposed to poor countries to focus on producing what made them strong and competitive compared to others in the international market, and in exchange they would buy products from developed countries at low prices (12). After a few years, the supposedly well-intentioned exchange was monopolized by large multinational companies that control storage, transportation, and have great influence on determining the international prices of best-selling products (13); those that are part of our daily diet: wheat, corn, rice, soybeans, beef, chicken, and butter. Among these companies are four large cereal and grain traders called “the ABCDs”: Archer Daniels Midland (ADM), Bunge, Cargill and Louis Dreyfus (13).
With the argument of “comparative advantages”, it was proposed to poor countries to focus on producing what made them strong and competitive compared to others in the international market, and in exchange they would buy products from developed countries at low prices
Producing food is an activity that has particular risks from variables such as climate, supply and demand. However, the social protection system that covered food production, producer families, and national food security has been dismantled in poor countries since 1970 (14). Since then, one of the trading institutions that accumulates the most power in this era of food globalization is the Chicago Stock Exchange (created in 1851 and whose real name is the Chicago Board of Trade) (15), similar to the Wall Street of food, which defines who eats and who does not (16). Different mechanisms were created at this stock exchange to speculate the prices of the most commercialized agricultural products, increasing their volatility to guarantee the profits of speculative investors around the world (14, 15, 16). The effects of this control system have already been shown in the form of two peaks in food price increases; the first associated with the global financial crisis of 2008 and the second in 2011. These mechanisms have thrown millions of people into hunger, most of them children and women (13, 14).
A careful look at our daily life and its relationship with the economy shows how this global trap controls food in the world. If we pay attention, we will see its components: the way to produce, financial speculation, land grabbing in Southern countries, the volatility of food prices, and the existence of monopolies that control its storage, transportation, and distribution. Knowing this reality invites to unite good intentions, and to build strategies that lead us all to find the solutions.