FAO calls for reversing deregulation of commodity markets

Jacques Diouf, director general of the U.N. Food and Agricultural Organization, said deregulation during the past 12 years has fueled commodity-market speculation , and that needs to be corrected to curb food price volatility. "We have created an environment that allows pure speculation," Diouf told Reuters Insider TV shortly after the agency said its closely watched Food Price Index had climbed to a record high in January.

"I am calling for going back to the regulation that existed (until 1999)." "Buying on the future markets ... buying only the contract and reselling it at higher prices without even seeing the commodities, that is what is not right."

Publication

Reuters

Date

February 3, 2011

Cross References

Dodd-Frank Act, Title VII, Sec. 737

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