Saturday, February 2, 2019

Going to Waste or Going to Waist: the dilemma of food distribution


     For many in my generation, our parents (usually mothers) implored us to "clean our plates", people were starving (at that time, "in China") and would love to have the food on our plates. Although not inherently a bad thing to not waste food, such requirements often caused problems by teaching us to ignore our body signals as to whether or not we were hungry. And thus, by trying not to waste our food, it often accumulated around our waists.
     Another aspect of this (which occurred to myself and, I am sure, many other children) is how did my finishing up my food help those in other places who did not have enough food? Portion control (especially countering the economics of supersizing) is an excellent goal to achieve -- eating the amount that is best for our health and with the correct composition and nutrition. But portion control only keeps us more likely to have healthy bodies (exercise and general lifestyle still factor in). It does not allocate more food to those who do not have enough.
     Assume that we each eat only what we healthily should. In the U.S., that would mean a net reduction in the average amount of food eaten. Less food eaten means less food purchased and a surplus of food produced. That surplus can be addressed by reducing the amount of food produced or by finding other markets for the food. Reduction of food production hurts the farmers (though many have already been shoved aside by the mass food producers) -- much better to find other markets.
     After correcting our portion sizes, we now have additional (the U.S. is already a net food exporter) food to send out to those who do not have enough. Raw food items, which are globally produced and imported and exported, are considered to be commodities. The price of commodities goes up and down but is about the same all over the world. However, the price of prepared food sold to people varies tremendously around the world.
     On December 31, 2018, the price of wheat in Kansas (in the U.S.) was about $5 per bushel. One bushel of wheat produces about 60 pounds of whole-grain flour or 42 pounds of "white" flour. Each pound of whole-grain flour is about 3 1/2 cups which is about the amount needed to make one loaf. Thus, each bushel of wheat can make about 60 whole-grain loaves and each loaf would have about 8 cents ($0.0833) of flour in it. If you insist on white bread -- it will have about 12 cents ($0.12) of flour in it.
     Eight cents of flour in a whole-grain loaf! Do you pay eight cents for a loaf of bread? Probably not. There are a number of factors that increase that price to what you pay. First, of course, a loaf of bread is not JUST flour. Depending on the recipe, there may be oil (or butter), yeast, salt, sugar, milk solids, and whatever. In addition, there are also equipment, labor, fuel/energy, and time needed to convert the ingredients to the loaf of bread. Second, the price of the raw material is not what you will pay at the market (either used within a product or by itself). There are transportation costs added, profit margins for each person/company which handles it, and storage costs.
     Of these costs, labor is the most variable between countries. Also, the general cost of housing, fuel, and taxes will vary. So, a loaf of white bread in Nigeria will cost about 1/3 the price in the U.S. In France, that loaf of white bread will cost about 40% of that of a loaf in the U.S. In Sweden, the price is about the same as in the U.S.
     Okay -- we have (in possibly overly verbose detail) shown that bread costs different prices around the world. It ranges from 1/3 to the same as in the U.S. We now have to compare world income. Bread costs 1/3 in Nigeria as compared to the U.S. but average household income in Nigeria is 1/28 that of the U.S.. This means that that loaf of bread has an effective cost (amount of household income) of 28/3 (9 1/3) of that of the U.S. In other words, buying a loaf of bread in Nigeria takes the share of average household income as equivalent of those in the U.S. paying $10 to $40 for a loaf of bread (lowest cost white bread is around $1 and higher, fresh-baked, bread may cost $4 for a loaf). On the other hand, average income in Sweden is about 90% of that in the U.S. so the difficulty of buying a loaf of bread in Sweden is fairly close to buying such in the U.S.
     We have now achieved a general knowledge of both cost and affordability of food within the world. How do we transfer that surplus of food from the U.S. to other countries (in particular, to those with low average household incomes)?
     In brief (finally, you may say!), the food must be either sold or given to the people. Selling to people in a higher income country is not a big deal. But those people about whom our parents referred when we were urged to "clean our plates" are much less able to purchase it. Many worldwide charitable organizations donate food to where needed in such cases but the food reaching the people in need usually depends on political stability and honesty.
     So, it is a significant problem. The people most in need have the least capability to purchase and, often, political obstacles to receiving it even if it is given to them freely. Cleaning our plates does not help them. It also does not help us if the portions are not appropriate. The problems and solutions about getting food to those who need it are primarily at the desired receiving end.

To Waste or to Waist: That is the question

       As is true of many people growing up in the US, I was encouraged to always clean my plate (encouraged is putting it mildly -- I remem...