The production of biofuels requires growing, processing and transporting appropriate crops. Food production shares many of these same needs, and this resource conflict has been the subject of much debate. The cultivation of biofuel crops increases the consumption of natural resources and contributes to world hunger by redirecting the use of edible grains (Pimentel, et al., 2009, 9). We will examine 3 main points of debate on the production of biofuels: influence on food production, use of natural resources and effect on the price of food.1. Available food and biofuel consumption Biofuel production represents a win-win situation for developing countries by creating rural jobs and increasing food security, but there are concerns about the world hunger implications of biofuel expansion (Peskett, et al., 2007, 16). Almost half of the world is fed by small farmers (Scherr, et al., 2010, 5). Much of the world's land is occupied by food crops, but malnutrition is still prevalent globally (Pimentel, et al., 2009, 2), and the use of edible crops for use in biofuels reduces the availability of food for those who need it ( Molony & Smith, 2010, 495). According to a report by the Food and Agriculture Organization (FAO), the use of cereals to produce biofuels is already causing food shortages for the world's poor (Pimentel, et al., 2009, 1). Some of the crops used for both food and biofuel production are corn, sugarcane, barley, soybeans, wheat, canola and sunflower. Almost 60% of humans in the world are currently malnourished (Pimentel, et al., 2009, 1). This will increase if grains previously used for food are instead used for biofuel production. For this reason, the use of…… paper halves……f, chicken, pork, eggs and milk is between 10% and 30% (Pimentel, et al., 2009, 1) . For this reason, biofuel feedstocks affect the price of other crops because these necessary inputs are diverted for a different purpose. Staple food prices depend not only on changes in production but also on global and national stock levels (Peskett, et al., 2007, 17). Therefore, commodity markets must function better if rice and wheat are to rapidly displace corn consumption (Peskett, et al., 2007, 17). Choosing other alternative crops as materials is the best way to reduce food availability problems and severe variation in food prices. However, the only problem is that second generation biofuels are still under development and may only become commercially available in the next 10-20 years (Ajanovic, 2010, 6).