Ethical investing: The Global Food Crisis And What We Can Do About It
It's World Food Day
In recognition of World Food Day, it’s important to bring attention to what’s going on in the world right now. It’s no secret that the world is facing a number of challenges when it comes to food security. From droughts to floods, the changing climate is wreaking havoc on crops and livestock.
The Russian invasion of Ukraine has further disrupted food supply chains, with prices of food and oil skyrocketing, as well as causing a shortage of grain (of which Ukraine had been a major global supplier). At the same time, the world’s population is increasing at an alarming rate - and the United Nations predicts that the world will need to produce 60% more food by 2050 just to keep up with demand1.
Unfortunately, it seems that the world isn’t on track to meet this demand. The problem of world hunger is a complex one, but it’s clear that something needs to be done to address the issue - and it needs to be done now. There are many things we can do to combat world hunger and food sustainability, but it will require a concerted effort from individuals, governments, and international organisations.
Some steps we can take
- Providing access to resources: One of the main causes of world hunger is insufficient access to resources. We can combat world hunger by providing resources such as land, water, and seeds to those who need them.
- Improving agricultural practices: Another way to combat world hunger is by improving agricultural practices. This includes things like using more efficient irrigation methods, implementing better crop rotation practices, and using more environmentally-friendly pesticides.
- Reducing food waste: It is estimated that around one-third of all food produced is wasted2. Being careful with portion sizes, buying what you need, donating leftover food that is still safe and edible but past sell by dates, companies providing access to “ugly” produce, are all things that can help reduce this waste.
- Investing in companies that focus on food sustainability is one way to help meet future food demand while also protecting our planet. These companies are working on innovative solutions to global food challenges, such as developing new ways to grow food in harsh environments, creating plant based alternatives to meat, or creating packaging that reduces waste. By investing in these companies, we can help them scale up their operations and bring their solutions to more people. This, in turn, will help us meet future food demand while also making a positive impact on the planet as a whole. This kind of investing, towards some greater goal or good, is known as impact or ethical investing.
At Wombat, we have multiple Themes available to allow you to vote with your money and support the causes you believe in.
If you want to help fight for a more sustainable future, check out The Future of Food, an ETF focused on providing access to the companies looking to provide a safe, sustainable, healthy way to continue feeding the world’s growing population. Some of the popular companies included in this fund include Ocado, Oatly, Tattooed Chef and Beyond Meat, to name a few.
Themes are available with Wombat’s Standard account plan, priced at £1 per month plus 0.01% pa account fee - unlock ISAs, round ups, automated investing, shares and themed ETFs, and more, today. Remember, when investing your capital is at risk.
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