5.9 The Global System of Agriculture

Introduction

Vocabulary

Export Commodity

Luxury Crop

Neocolonialism

Fair Trade Agreement

Subsidy

Infrastructure

Global Supply Chains 

Examples

1. A company in the United States decides to produce a new type of smartphone.
2. The company sources the raw materials for the phone, such as metals and plastics, from suppliers around the world.
3. The company contracts with manufacturers in different countries, such as China and Vietnam, to assemble the various components of the phone.
4. The finished phones are shipped to distribution centers in various parts of the world, where they are stored until they are needed.
5. When a customer in Germany orders a phone online, the phone is shipped from a distribution center in Europe to the customer's address.
6. The customer receives the phone and begins using it, completing the global supply chain.

1. Alibaba Group - This Chinese company operates an online and mobile commerce platform that connects buyers and sellers worldwide.
2. Amazon - This American e-commerce giant has a vast global supply chain network, with fulfillment centers and distribution centers located around the world.
3. DHL - This German company is a global leader in logistics and supply chain management, with a presence in over 220 countries and territories.
4. FedEx - This American courier company operates a global network of transportation, e-commerce, and supply chain management services.
5. UPS - This American courier company also operates a global supply chain network, offering logistics and transportation services to businesses and consumers worldwide.

Patterns of Global Food Distribution

1. North-South divide: Developed countries in the Northern Hemisphere tend to produce a surplus of food and export it to developing countries in the Southern Hemisphere, which often have a deficit in food production. This has contributed to a dependence on imported food in some developing countries and a reliance on exports in some developed countries.
2. Urban-rural divide: Urban areas, which tend to be more economically developed, often have greater access to a diverse range of food compared to rural areas, which may be isolated and lack infrastructure. This can lead to a disparity in the availability and quality of food between urban and rural areas.
3. Rich-poor divide: Wealthier people tend to have greater access to a wider range of higher-quality food compared to poorer people, who may be limited by their income and access to markets. This can lead to differences in diet and nutrition between wealthier and poorer populations.
4. Intra-regional trade: Within regions, there is often a greater flow of food between countries. For example, countries in the European Union have a high level of food trade among themselves.
5. Seasonal fluctuations: The availability and price of food can vary depending on the season and the location. For example, certain types of fruit and vegetables may be more readily available in the summer when they are in season, while other types of food may be more expensive during this time due to a decrease in supply.

1. Transportation: The availability of transportation infrastructure and technology can influence the distribution of food. For example, countries with well-developed transportation systems may be able to import and export food more easily than countries with less developed systems.
2. Trade policies: Governments can influence the distribution of food through trade policies, such as tariffs and quotas, that regulate the flow of goods across national borders.
3. Market demand: The demand for certain types of food in different parts of the world can affect global distribution patterns. For example, if there is a high demand for tropical fruit in Europe, this may lead to an increase in the import of such fruit from tropical countries.
4. Political and economic instability: Instability in a country, such as conflict or economic recession, can disrupt food production and distribution.
5. Climate and natural disasters: Extreme weather events and natural disasters, such as droughts and hurricanes, can affect food production and distribution in affected areas.
6. Agricultural practices: Different agricultural practices, such as the use of pesticides or irrigation, can affect the availability and quality of food.
7. Food safety regulations: Governments can establish food safety regulations that affect the distribution of food within and between countries.
8. Food waste: A significant amount of food is wasted at various points in the supply chain, from production to distribution to consumption. This can affect global food distribution patterns.

1. A drought in South America reduces the production of soybeans, which is a major export crop.
2. As a result, the supply of soybeans on the global market decreases and the price increases.
3. Countries that rely heavily on soybean imports, such as China and Japan, may have to look for alternative sources of protein or pay more for soybeans.
4. At the same time, countries with a surplus of soybeans, such as the United States and Brazil, may experience an increase in demand for their exports.
5. The changes in the supply and demand of soybeans can affect the distribution of other products that use soybeans as an input, such as animal feed and vegetable oil.