Hedge funds are currently making big profits by speculating on food. The left wants to stop that.
Because of the sharp rise in food prices, the left is demanding a ban on speculation in food and agricultural commodities.
With an inflation rate of more than seven percent, many people would not know how to pay for their next purchase, said Left Party chairwoman Janine Wissler of the German Press Agency.
“The outbreak of war in Ukraine is one reason for inflation, but not the only one,” said Wissler. “Hedge funds continue to rely on a shortage of supply, speculate and thus drive prices up further.” The federal government must stop this. “A clear ban is needed so that further profits are not made through artificial scarcity with rising prices and aggravated famines,” said Wissler.
From the point of view of the left, this would be possible, for example, by capping quantities per trader and raw material. Everyone who trades in agricultural commodity derivatives will have to register in a trader register. In addition, the left proposes demanding higher collateral for agricultural commodity derivatives or introducing a financial transaction tax.
Source: Stern
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