Forests Saved by Fossil Fuels and High Farm Productivity

American forests were disappearing between 1850 and 1910 due to the need for wood as fuel and the increases in farmland.  After 1910, the extent of our forests was stable and then they began to expand as crop yields increased dramatically.  High-yield varieties of wheat, rice, and corn were developed.  Fossil fuel use spared the forests from use as fuel.  See Ronald Bailey's article Peak Farmland?, which is largely based on a lecture by Jesse Ausubel at Rockefeller University in December 2012.

U.S. corn production from 1860 to 2010 increased by a factor of 17.  Corn yields in America are now averaging 180 bushels per acre, while worldwide yields are 82 bushels per acre.  Increasing yields should continue, since non-irrigated yields of about 300 bushels per acre are already being produced with new varieties.

The story of India is instructive.
 In 1960:

• Population = 435 million
• Diet = 2000 calories a day
• Farmland = 398 million acres (slightly more that 2 times the size of Texas), 0.91 acre/capita

In 2010:

• Population =  1.155 billion, increase of 2.66 times
• Diet = 2330 calories a day, or one-sixth more
• Farmland = 420 million acres, or 5.5% more, 0.36 acre/capita

If Indian wheat production had not improved since 1960, an additional 161 acres of farmland would have been needed to produce the same amount of wheat.  Thanks to Indians flocking to the cities since then, Indian forests have actually expanded by 37 million acres.

China in the post-Mao period has a similar history.  The population doubled, GDP increased 45 times, farmland planted in corn doubled, but corn yield was 4.5 times greater per acre.  The corn yield increase kept 297 million acres of land from being used to produce this corn.  Chinese forest land increased from 1990 to 2010 by 30%.

Without crop yield increases from 1960 to 2010, about 7.4 billion more acres of farmland would have been needed worldwide.  This land area is almost twice that of South America or equal to that of the USA, Canada, and China combined.  Fortunately, farmers today are producing almost three times as much food on the amount of land used in 1960 for farming.

Ausubel and colleagues estimate that the world average corn yield in 2060 will be about equal to that of the USA in 2010.  General increases in crop yields will release between 360 and 990 acres of farmland by 2060.  In addition, about 40% of the world's grain is used for livestock.  A biotech company called Modern Meadows wants to use 3D printers and tissue engineering to make meat.  If that idea works, less farmland still will be needed.  The forests are saved.

U.S. is to Food as OPEC is to Oil

The United States is in many respects to food production similar to OPEC with respect to oil production. The U.S. has a huge impact on the world price of food and affects prices in good part with Federal government mandates and price controls largely dictated by the huge Farm Bill passed recently and its predecessors. As a result, the U.S. government and many state governments also act in constraint of trade in food in many profound ways. When we pass a NOPEC bill in Congress which allows lawsuits against OPEC for their acts in constraint of oil trade and for conspiring to affect the cost of oil in the U.S., we are acting rather hypocritically. The OPEC nations might say that if we want to play that game, they can play it also. A lawsuit now has been initiated against OPEC in response to their constraint of the oil trade. Might OPEC nations respond with laws against the restraint of trade in food and follow-up with lawsuits of their own?

I am not suggesting that what OPEC is doing in the oil markets is wise or that it is moral. But, their restrictions on oil production are not different than our own refusal to explore and develop many of our suspected oil resources. As we will discuss here, we also have a huge impact on world food prices and we clearly manipulate those in many ways which also have nothing to do with the free market. As we complain about the sharp price increases in oil, much of the rest of the world is complaining about the great cost increases in food. We should allow the free market to develop our oil resources and we should allow it to control food production also.

Thomas Barnett wrote an interesting commentary published on 11 June 2008 in the Washington Times, entitled "U.S. edge in global food trade." On the Scripps Howard News Service it is entitled "U.S. sits pretty in global food trade network." Barnett only mentions concerns with the hypocrisy of our food manipulation policies in passing. The point of this article is that he is proud that we are as dominant as we are in the food production business. I am also proud of that and we should have enough self-confidence to allow the free market to prevail. Barnett says, "When the professional fearmongers try to scare you with America's 'oil addiction,' remember this: If the world's got us over the barrel on energy, we've got the world over a bread basket." Here are some of the interesting facts that Barnett notes:

• North America exports 105 million metric tons, the former Soviet Union nations export 21 million, South America 18 million, and Australia/New Zealand 9 million metric tons. Of this the North American share is 68%.
  
• The net importing regions are: North Africa and the Middle East import 58 million metric tons, Asia imports 47 million, sub-Saharan Africa 17 million, and Europe 12 million metric tons.
• North America imports half its oil, while the Middle East imports three-quarters of its food.

Barnett also discusses how global warming will help North America produce more food and cause people to use less energy, which will hurt OPEC. Since I do not think the global warming scare will last as people become more aware of how flimsy the arguments for it are and because a productive world will continue to have a great deal of use for oil, I am not too interested in Barnett's arguments here. But, it is clear that the demand for food is such that more farmland is being put back into production. He notes that Dakota farmers are presently tilling fields that have laid fallow for decades and that land speculators are counting on increased production in Russia, Ukraine, and Kazakhstan. He also notes that the Chinese are running around the world buying up arable land in other countries.

He notes that food is about 0.1 to 0.2 of a household's spending in industrialized nations, but is as much as 0.8 of household spending in developing nations. Today, only 7% of rice is traded globally and 12% of corn is traded. He believes these percentages will increase and that the global food trade network will become as important as the global energy trade network. Rather than moan so much about the cost of oil, we should produce more food for export. Of course, we should also produce more oil and gas as well.