Biofuels Policies in Asian Countries: Impact of the Expanded Biofuels Programs on World Agricultural Markets

Abstract

The governments of Asian countries are promoting biofuels programs to deal with energy security and environmental problems, and to increase farm income. However, securing raw materials for biofuels is a crucial problem, because these raw materials comprise various agricultural products which are used as food sources in Asian countries. Increasing biofuel consumption is exacerbating this problem. To address it, the governments of Asian countries are working on biofuel programs which will not compete with food security. Most of the Asian countries are food-importing countries. Increasing food prices, due to competition, could lead to social unrest. It is expected that the introduction and development of second-generation biofuels can mitigate the competition between food and energy. As various countries develop second-generation biofuels, international cooperation is needed to maximize such development in Asia and other regions. Establishing international cooperation to develop second-generation biofuels is urgently needed in Asian countries.