China acquiring overseas land for food

The dictators can't refocus their thinking. The leaders of China think China must own all its food production - to be self-sufficient. But food is a set of commodities that are traded internationally. It is a question of prices - supply and demand - not self sufficiency!

Oh, but it's a question of security. Not! You pays the prices and you gets the goods. Any economics sophomore can teach the Great Leader of a billion people this humble lesson.

FT.com / Asia-Pacific / China - China eyes overseas land in food push :

Chinese companies will be encouraged to buy farmland abroad, particularly in Africa and South America, to help guarantee food security under a plan being considered by Beijing.

A proposal drafted by the Ministry of Agriculture would make supporting offshore land acquisition by domestic agricultural companies a central government policy. Beijing already has similar policies to boost offshore investment by state-owned banks, manufacturers and oil companies, but offshore agricultural investment has so far been limited to a few small projects.

If approved, the plan could face intense opposition abroad given surging global food prices and deforestation fears. However an official close to the deliberations said it was likely to be adopted.

“There should be no problem for this policy to be approved. The problem might come from foreign governments who are unwilling to give up large areas of land,” the official said.

The move comes as oil-rich but food-poor countries in the Middle East and north Africa explore similar options. Libya is talking with Ukraine about growing wheat in the former Soviet republic...

Oh, yes. There might be a problem with countries not wanting to give up large areas of land to dragon China, which is building up its military. Just a question of sovereignty. Might be. But the dragon is no threat when buying on the open market.

Via Thomas PM Barnett