China Faces Worst Crop Conditions Ever Due to Climate Change
Bloomberg News08:30 AM IST, 23 Mar 2022 (Bloomberg) -- More extreme weather caused by rising global temperatures — compounded by geopolitical turmoil and the pandemic — is hindering China’s effort to ensure food supplies for its 1.4 billion population.
President Xi Jinping has made food security a priority for the world’s second-biggest economy, an effort to meet the soaring demand that’s pushed imports of corn, soybeans and wheat to record levels, making Beijing increasingly vulnerable to trade tensions and supply shocks. At the same time, climate change-induced disasters have caused widespread crop damage and shrunk the amount of arable land, making it harder to boost local production.
Tang Renjian, the country’s agriculture minister, brought up the threat at a high-profile government meeting in Beijing this month. “China faces big difficulties in food production because of the unusual floods last autumn,” he told reporters. “Many faming experts and technicians told us that crop conditions this year could be the worst in history.”
More than 860 people died or went missing in natural disasters last year, which damaged almost 30 million acres of crops. Record-breaking rains in the central province of Henan in July alone damaged 2.1 million acres of farmland. The floods delayed planting on more than 18 million acres of land, about one-third of China’s total winter wheat acreage. The amount of first- and second-grade crops, where there are more than 2.7 million seedlings on every acre of land, fell by more than 20% this year compared with normal years.
Climate change hurts China’s pursuit of food security in two ways, according to Zhang Zhaoxin, a researcher with the agricultural ministry. More frequent extreme weather events are already lowering crop yields. Meanwhile, increasingly unpredictable seasons can undermine farmers’ confidence and potentially worsen the sector’s existing labor shortage.
Farmers in northern China are used to droughts, not floods, Zhang said. In many of the regions that were affected by torrential rain last year, farmers couldn’t harvest their corn because their machinery couldn’t handle the water. There wasn’t enough infrastructure such as pipes and systems to drain the field in time.
Those issues are set to get more serious as the planet warms. Seasonal droughts will reduce yields of China’s three major staple foods — rice, wheat and corn — by 8% by the end of the decade, according to World Resources Institute. In the longer term, climate change also means rising coastal waters along the long and low eastern coal could further stress the agricultural industry.
“As climate change continues to intensify in coming years, weather events are going to have a greater and greater impact on agricultural productivity,” said Even Pay, an agricultural analyst with Trivium. Ramping up imports isn’t a viable alternative, she added, pointing out that global warming makes food cultivation more challenging globally. “Climate change felt in the rest of the world could also impact China’s food security,” she said.
Political parties are gearing up for a snap GE 15 election {dissolution of Parliament announcement} BN - UMNO win can be a feel good factor for the stock market. MOU signed between PH and ISMAIL end in June
Toady perfect weather to enjoy.. Market - positive Plantation sector- positive Fcpo - positive Tighter supply from Indonesia even export export levy..... Geopolitical tension- every countries is halting commodity export Cheers
it is wrong to say malaysian investors are not bullish on plantation stocks, but many prefered to buy lower prices companies ,like fgv, jtiasa,sime plant , boustead plant etc. Among these people is kyy. But alas, kyy listed those low price stocks ,we see these to be mismanaged ,and give low monthly cpo production. Still may be , more lower risk ,if luckier and be more profitable.
Most of professional & shrew investors r quietly collecting sop. Once they collect enough they will announce and can see over in newspapers, magazines and radio. That the time Game almost over......
For traders: Chinese companies especially distressed ones such as property are expected to submit their earnings before the deadline 31 March 2022. A lot of property companies could get delisted if failed to comply with regulations. CSI and Hang Seng could experience heightened volatility throughout this week.
D bullish momentum is not over yet. Global mkt still shortage of cooking oil. If u use elliot wave count, the third wave is not over yet in yearly chart. I already took profit rm 20k + (sold all at 630) and still not bearish at all. Just to take advantage of the price structure. And continue to buy and topup at pullback. If u think if going to drop, u making a big mistake - u going to miss this great opportunity once in ur life time!
Fear and greed are two common human instincts. Top gloves owner kept on buying their stock when it was 7.6.5.4.3. thinking they would rebound to previous high until they are fully exhausted here you have directors and owners selling thier stocks for 150% gain which they think is very good. The reality is both did the wrong thing hihi
Price at 38 fib retractment- 530 This is level of A pullback normally end Sometimes it goes down and make a uturn and uptrend again. Will this level 530 hold?
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
calvintaneng
56,633 posts
Posted by calvintaneng > 2022-03-23 08:06 | Report Abuse
Happy morning all
Sunflower oil running out soon
Canola oil skyrocketed past Usd1,150
I see SOP going up into Blue Chip over Rm10.00
Time is the essence of waiting and so we just hold tightly