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Until this moment I have been forced to listen while media and politicians alike have told me "what Canadians think". In all that time they never once asked.
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"You don't speak for me."
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Time to stash away some brown rice and pasta in the pantry. Could be some steep price increases coming what with it being too dry in the US, too wet in England and there being too many mice in Germany.
Rubbish. Check in about a year or two from now and see where prices and inventories are.
If the US didn’t burn 30% to 40% of her corn crop every year as motor fuel, there would be less price inflation in poultry, beef, and pork products. The amount of land moved to corn production has reduced US soybean acreage; soybean prices have doubled since 2005.
I read hog farmers in the US are getting the highest prices ever, but aren’t making any money.
It is true that recent food inflation in the US is so high that it almost completely offsets the recent decline in fuel prices.
It’s impossible to believe that the upward pressure on prices caused by ethanol production is not a major factor in the increase in corn and soybean prices since 2006.
Jim Rogers lists the number one problem among farmers as suicide…
With all the regulatory nonsense farmers have to deal with it would be enough to drive anyone to despair.
@ small c conservative: I agree the amount of acreage devoted to ethanol production, given oil and gas reserves is crazy.
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Irrigation anyone?
Google ‘repeal ethanol mandate’. 6 million results. Because burning food is a crime. Because ethanol does nothing for emissions. When the biofuel house of cards eventually and surely collapses, it is the farmers who will take the hit.
@ small c, I think you are right about the effect of converting corn to ethanol. The bright side is that farmers in the US and in Canada are also receiving more for their other crops. That said, I still do think that food, human or animal, should be diverted to making fuel. Drill baby, drill.
A big factor in the cost of food is the cost of diesel for farm equipment and for the truck transportation to your local store, as well as all the other increased overhead and wage costs due to the high fuel costs.
This drought may not be good for US farmers, but how are crops fairing in Europe, the Ukraine, Russia. How are the crops fairing in the southern hemisphere?
Some Saskatchewan farmers would be only too glad to send some of our rain to the US Midwest.
Once the Ukraine gets it agricutural $#!* together the price of commodities will tumble, they have huge potential, food shortage my eye, but the ag sector IMHO will be strong for a few yeatrs and I will continue to plug my funds into the ag secto here in Sask. as an alternative to the ponzi capital markets,land and cattle something I can see and touch.
“That said, I still do think that food, human or animal, should be diverted to making fuel.”
Ken(kulak)…I am fairly sure you meant to say “should not” be diverted??
At least Mr.Rogers didn’t blame cAGW,or cooling,or CO2,or whatever the eco-cultists pet phrase is today.Just plain old,ordinary weather,world wide.Sounds like maybe this guy should be on the IPCC.
Justthinkin, right. Sorry.
Ken (Kulak) –
Agreed, the higher prices received by cereal farmers are a good thing to the extent they don’t result from burning food for fuel.
reil deil, “Once the Ukraine gets it agricutural $#!* together the price of commodities will tumble”. Exactly. When we toured central Ukraine from Kiev to the Black Sea in 2008 we saw very good crops and the potential for even better ones. However, politics still seems to be a limiting factor, as does lack of a good input and machinery supply infrastructure. They are improving every year and have already been a factor in world grain prices.
I think that western Canada caused the Russian revolution.The price of wheat had a steady rise till the early 1900,s when it fell due to Western Canada being a new exporter of wheat which it was from the time the sod was broken and the railway expanded west and the Russins couldnt compete.As an aside,Bourgout Industries largest dealer,a maker of seeding equipment headquartered in St Breux Saskatchewan,is in Germany.
Ukrayina today is less a breadbasket then a sugar bowl – the #1 national crop’s sugar beets, which BTW is one of the most carbon efficient ethanol crops.
If Ukrayina could do a Brazil, then goodbye Kremlin oil!