Singapore and rice security
Abdel Nasser Al Shaali
Aj.alshaali@gmail.com
September 15, 2022
What makes a country like Singapore, with an area of just 730 square kilometers and a population of 5.5 million, among the 20 largest exporters of rice, or what is called in our local dialect, “live” even though it does not produce any of it?
Except for its production of some types of vegetables and fruits, Singapore relies heavily on food imports to achieve its food security, and it is strengthening this by diversifying its import sources for the various food commodities that it consumes locally.
An example of this is the fact that the competent authority in Singapore prints and publishes a picture of a piece of “sushi” with a mention of where each component is imported from during the “Covid-19” crisis, and the disruption and delay in supply chains caused by the crisis, in order to reassure the island’s residents.
To say: "Singapore's dependence on the world food trade system, for its food security, must make itself a major center on the global trade route for commodities of national and global importance."
Rice, compared to wheat and other basic commodities, is one of the least basic food commodities that are traded among the countries of the world, as the proportion of what is exported and imported does not exceed 6% of what is produced.
Unlike Singapore, China, which is the world's largest rice producer, simultaneously produces, exports and imports rice.
This does not mean that China is unable to produce enough of its need without relying on importing rice, but it deals with this basic commodity based on what is needed and on global variables that determine the price of the commodity in export and its cost in import.
In this case, China is certain that the cost of rice production may rise and fall according to what is happening in the world, and that no matter how hard it tries, it will not be able to produce rice at a reasonable cost if it wants to achieve self-sufficiency with the escalating growth of the population, albeit only for the time being. .
Finally, the UAE began an interesting experiment with the production of limited quantities of rice in the Al Dhaid region.
The experiment is still in its infancy, and it is not possible to ascertain its level of success or the possibility of converting it from an experiment to a high production capacity at a reasonable and acceptable cost.
What can be asserted now from the experience of Singapore and China is that there is no alternative to harnessing the global trade system to achieve and enhance food security for the UAE, even with the country’s success in cultivating some basic commodities such as rice.
What made Singapore, finally, occupies the 19th place in the world in exporting rice, while producing none of it, is only an indication of what can be achieved by placing the country itself at the intersection of the supply chains of the food commodities it needs.
@aj_alshaali
Aj.alshaali@gmail.com
Economist specializing in food security
To read the previous articles of the writer please click on its name.
Aj.alshaali@gmail.com