'$100 a Barrel of Oil’ - Sustainable Development Commission Report on oil price and food
With crude oil prices now hitting $100 a barrel, the recent publication of the SDC’s ‘$100 a Barrel of Oil’ Report is timely. The study, which was undertaken by a consortium of researchers led by ADAS, considers the likely direct impact of high oil prices on UK agriculture and on the wider food supply chain. Among other key findings, the report predicts a 4% increase in household food expenditure of around £3 billion if all costs are passed on to consumers and that, in terms of regional impacts, Northern Ireland, Scotland and Wales will be hit most hard due to their reliance on livestock and distance from processing or markets. The study also found that extensive and organic production systems in the UK are less severely affected by energy prices than intensive systems. Read the full report, which was commissioned by the SDC commissioned when oil was nearly half the price it is now, online at: http://www.sd-commission.org.uk/publications.php?id=637
‘The overall objective of this study is to provoke greater debate on the potential impact of increased energy prices on the ability of UK agriculture to be a successful market based industry. It considers the likely direct impact of an oil price of $100/barrel of oil on UK agriculture and on the wider food supply chain.'