Policy Documents

Price Surges in Food Markets: How Should Organized Futures Markets be Regulated?

Food and Agriculture Organization of the United Nations –
June 1, 2010

The drastic increase of food prices in the period 2006-2008 spurred fears of global food insecurity. Apart from actual changes in supply and demand of some commodities, the upward swing might also have been amplified by speculation in organized futures markets. However, limiting or banning speculative trading might do more harm than good.