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Global food consumption
Newly industrialised countries such as China are
consuming more as wealth increases.
LEDCs such as Africa consume less food, many
malnourished, lack of money. Have to import if possible
and rely on aid.
MEDCs like Europe consume a lot as can afford to
import, culture of consumerism, high disposable
incomes.…read more

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Types of agriculture
COMMERCIAL ­ food production to sell and make profit.
SUBSISTENCE ­ just enough food grown for family in
LEDCs.
CAPITAL INTENSIVE ­ high input of money invested e.g.
labour saving machinery.
LABOUR INTENSIVE ­ employs a large labour force.
INTENSIVE ­ produces high yield from small area of land.
EXTENSIVE ­ low capital and labour input so produces
small yield from large area of land.
ARABLE ­ crops grown for food, fuel, animal feed
LIVESTOCK ­ animals such as cows and sheep raised for
food or materials.…read more

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Common Agricultural Policy
Food auctioned on world market and value set by supply and
demand.
Subsidies given to farmers to produce more food than demand.
Need extra food to increase food security in case of natural
disaster or war (response to WWII).
Demand bigger than supply = high price
Supply bigger than demand= low price so farmers were paid the
difference in subsidies to compensate for overproduction.
Subsidies are expensive to government and need to find storage
facilities.
In 1990s CAP had to reform. Subsidies to dairy/ livestock
farmers were reduced so no longer encouraged to over breed or
over graze.
Arable farmers paid to set aside 10% of land uncultivated to
reduce grain mountains.…read more

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Tariffs
Taxes applied to imported goods to stop importers
undercutting home produce.
Prevents consumers buying cheap imported products.
Example
EU can produce 94% of beef it needs. If it was cheaper for
consumers to buy imported beef then it wouldn't be
profitable for EU producers and production would
decrease.
So tariff is applied to imported beef making them more
expensive than locally produced to encourage fair
competition.
Free trade is production, transportation and selling of
agricultural produce without government intervention.…read more

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Quotas
Limit production of some foods to prevent overproduction.
Import quotas protect market by limiting amount of
imported produce.
Quotas increase if demand increases.
Example
Milk quotas introduced in 1980s due to overproduction that
created huge amounts that couldn't be consumed or
exported.…read more

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