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Showing posts tagged food prices



Fed gloomier about the economy

NEW YORK (CNNMoney) — Ben Bernanke and the rest of the Federal Reserve have grown more pessimistic about the state of the U.S. economy.

At the conclusion of a two-day policy meeting, the central bank said that while the recovery is continuing at a moderate pace, growth is somewhat slower than expected. It also said the jobs market is “weaker than anticipated.”

It also issued new economic projections that call for slower economic growth, higher unemployment and higher inflation in 2011 and 2012 than in its previous forecast. At a press conference Wednesday afternoon, Fed chairman Bernanke referred to the new forecast as a significant revision.

Source - CNN

 


Pattern Recognition - Food Crisis News - June 22, 2011

It’s been a month or so since I did an environmental scan on food prices, shortages, and commodities.  Let’s see if anything has changed.

Ummm, nope.

Food Prices will remain high

Agencies See Decade of High Food Prices- June 17, 2011

LONDON—Food prices will be up to 30% higher on average over the next decade as slowing grains production fails to keep pace with rising demand, the Organization for Economic Cooperation and Development said Friday.

High Food Prices Here To Stay - June 17, 2011

The report predicts that prices will be 20 percent higher for cereals and up to 30 percent higher for meat in the coming decade compared to the past ten years.

It will specifically hit poor people who now already spend up to 80 percent of their income on food. “People are going be forced, either to literally eat less, or find other sources of income,” Gurria said.

Record prices linked to bio-fuels…yet again - June 17, 2011

The biofuels industry is being blamed for record food prices and high price volatility. Earlier this month a report from the World Trade Organization and other international agencies recommended that governments cut support for biofuels to ease that volatility. On the heels of that report, the U.S. Department of Agriculture issued its corn forecast; it suggested that corn supplies will be very tight this year because bad weather has limited planting and because the share of corn going to ethanol is increasing. After the report, corn prices shot to record highs, reaching $8 a bushel. Then on Friday, the Organization for Economic Cooperation and Development released a report predicting that food prices will remain high for the next decade.

Many experts say the unprecedented prices are at least partially driven by government subsidies and mandates that have led to fourfold increases in production of ethanol biofuel and tenfold increases in production of biodiesel between 2000 and 2009 worldwide.


Governments scramble for solutions

Volatile Food Prices Grab G-20’s Full Attention - June 22, 2011

David Nabarro, a food security expert with the United Nations, says that for decades governments thought they didn’t have to worry about agriculture, because prices stayed even or dropped. But 2008 changed all that.

“Food became an issue that was of central political importance to presidents [and] heads of governments,” Nabarro says. “In addition, we found that food production systems were getting intertwined with environmental issues and climate change. So food and agriculture has now become a big political issue.”

Food Reserves Could Come Back Into Vogue- June 16, 2011

Facing increasing hunger, market unpredictability, and food price volatility, world leaders have shown interest to resuming the practice of food stores.

At the G-20 meeting last month in Rome, leaders discussed developing an emergency reserve system, aimed at servicing the most vulnerable countries.

Uganda struggles with plans to reduce inflation and food shortage - June 16, 2011

IMPLEMENTATION of the National Development Plan (NDP) and the Agriculture Sector Investment Plan will not solve food shortage, low income and inflation. To deal with inflation, you need to stabilise agricultural supply and control food prices.

Studies on Uganda’s food supply predict a food deficit by 2030. Countries that experience food insecurity experience high levels of poverty.

U.S. Agency for International Development hosts 300 researchers for “Feed the Future” forum - June 22, 2011

Is this a food crisis? Are we in a crisis?

SHAH (Administrator of USAID): It’s absolutely a precarious situation. We know that food security is critical to our national security, and I will build on David’s point and suggest that the food riots and famines and failed states that are the consequences of a lack of access to food are far more costly and problematic to deal with over time than making smart targeted investments and helping countries develop their agricultural systems, become real trading partners and move big huge proportions of their population out of a condition of poverty and hunger.


Climate Change continues to wreak havoc with crop production

China food prices spike as floods ruin farmland - June 20, 2011

(Reuters) - Torrential rain across southern and eastern China which has killed more than 100 people and triggered the evacuation of half a million has left large areas of farmland devastated as food prices surge, state media said on Sunday.

KENYA: Severe drought, high food prices hit pastoralists - June 16, 2011

NAIROBI, (IRIN) - Successive poor rains coupled with rising food and fuel prices are leading to a worsening food security situation with alarming levels of acute malnutrition being recorded in drought affected parts of Kenya, mainly in the north of the country, say experts.

Extreme weather moves on to agenda at the 21st World Conference on Disaster Management (WCDM)- June 17, 2011

the 21st World Conference on Disaster Management (WCDM), to be held in Toronto Sunday, June 19, through Wednesday.

Nearly 1,500 government officials, scientists and businesspeople from 40 different countries will participate.

Top of mind will be the expected world food crisis that all this extreme weather is already causing, driving harvests down and prices up to record levels.

“When the major networks become weather networks, and when other news becomes sort of secondary, we are facing disaster,” says Lester Brown, founder and president of the Washington-based Earth Policy Institute, who will be the WCDM’s opening speaker. “When you have a lot of local disasters, droughts and floods and heat waves as we’re now having, reducing the food supply, then you have a global disaster.”


Extreme Circumstances require Extreme Measures?

Long held rumors of North Korean cannibalism sparked by food shortages appear to have been confirmed:

Leaked North Korean files reveal citizens selling human flesh for food -  June 19, 2011

Notably, five cases related to cannibalism were also included in the manual. Stories about starving North Koreans eating human flesh have been considered rumors, but recent discoveries in the manual may prove otherwise, triggering more speculations about the food shortage crisis in North Korea.

One case involved a guard named Lee Man-sung, who killed his roommate with an axe when he was sleeping, ate part of the corpse and then sold the rest on the market describing it as lamb meat.

But WAIT, there’s good news. Corporate funded Japanese scientists may have found a solution. 

Let’s feed them “shit burgers”. There’s never any shortage of feces right?

Japan scientist synthesizes meat from human feces - June 15, 2011

Japanese scientists have actually discovered a way to create edible steaks from human feces.

Mitsuyuki Ikeda, a researcher from the Okayama Laboratory, has developed steaks based on proteins from human excrement. Tokyo Sewage approached the scientist because of an overabundance of sewage mud. They asked him to explore the possible uses of the sewage and Ikeda found that the mud contained a great deal of protein because of all the bacteria.

The researchers then extracted those proteins, combined them with a reaction enhancer and put it in an exploder which created the artificial steak. The “meat” is 63% proteins, 25% carbohydrates, 3% lipids and 9% minerals. The researchers color the poop meat red with food coloring and enhance the flavor with soy protein. Initial tests have people saying it even tastes like beef.

That’s it folks. North Koreans are resorting to eating each other and “Big Sewage” seriously wants to feed us our own shit. Mission accomplished.

 






Soaring food prices to dent Asia’s growth

Soaring food and fuel prices are threatening to derail growth in Asian economies, according to a report by the Asian Development Bank (ADB).

The bank has warned that if food and fuel prices continue to surge, economic growth in the region could be reduced by up to 1.5% this year.

According to the bank, domestic food prices have risen at an average of 10% in many Asian economies this year.

Oil prices have also surged because of the crisis in the Middle East.

The bank said that a combination of these two factors has been a major setback for growth in Asian economies.   Source

 


Commodities Food Price Index from Sept. 2010 - Feb 2011.

The prices of commodities such as corn, wheat, sugar, coffee, etc.

Source

Screenshot taken 04/06/2011



Food Price Comparisons Around the World - Wallet Pop.com

Click through the gallery after the jump to see more comparisons.

1 lb. Ground Beef

Sample of U.S. Prices:
Portland, Ore.: $2.79
Little Rock, Ark.: $3.10
Los Angeles, Calif.: $5.29

Sample of World Prices:
Canada: $3.07
Germany: $4.93
Australia: $5.75
Belgium: $6.06
South Africa: $7.04
London: $9.03
Paris: $11.20
Taiwan: $11.50

 


Rising Food Prices Hit the Middle East - Expect more protests

Rising food prices, which climbed a record high of 25% in 2010, is adding to inflationary pressures in the Middle East and affecting a significant population in many countries in the region, QNB Capital said in a release.

According to QNB Capital, the index of global food prices maintained by the UN Food and Agricultural Organisation (FAO) rose by 25% in 2010. The index surpassed the previous record in June 2008 and then increased by a further 9.9% in the first two months of 2011.

According to the World Bank, the world is nearing a “breaking point” as food prices are squeezing the poorest in society; those who spend a substantial part of their income on food. This phenomenon is also affecting a significant part of the population in many countries in the Middle East.

Food prices are near record levels and still expected to increase further.

The World Bank’s own food price index is near record levels, having increased 15% between October 2010 and January 2011. The World Bank further expects prices to remain high this year. In line with this, the Economist Intelligence Unit (EIU) is forecasting a 19% rise.

While the last food price spike coincided with an economic boom, the current spike comes when many governments in the region are struggling with deep deficits, still a result of the global financial crisis. In the current situation, affected governments have less bandwidth to respond to food price inflation by boosting food subsidies or wages.

Source - Gulf Times

 


1 note

Posted at 11:34pm
Tagged inflation food prices economy finance Walmart

 


Now is the time to profit from Hunger

I’m not going to act like I’m a Pollyanna who thinks that the ideal world will ever be anything close to reality, but here’s what the financial analysts are saying about the global food crisis and rising food costs - “Time to make some money”. 

IndexIQ Chief Executive Adam Patti  said CROP will provide exposure to global small-capitalization companies engaged in the growing agribusiness sector. Because it is an ETF, Patti said, CROP will give investors “a highly liquid, highly transparent, low cost, tax efficient” way to gain exposure to agribusiness’ growing demand for food crops and shrinking supply of them.

“Global supply shortages, changing dietary demands in emerging markets, growing populations and alternative energy production are among the many powerful factors driving global demand and skyrocketing prices for agribusiness products. We believe these trends are likely to persist for the foreseeable future,” Patti said in a statement.

The CROP ETF arrives at an unprecedented time in food history: prices recently soared 3.9% in February, the biggest monthly gain since November 1974, marking the continuation of a trend that many economists expect to hold true for at least the remainder of the year. Meat and dairy prices have been on the rise, reflecting higher prices for the corn and soybeans used in animal feed. Earlier this month, the United Nations Food and Agriculture Organization said that world food prices have risen to the highest point since 1990, when the agency first began its food price tracking efforts.

Back in January, legendary investor Jim Rogers confirmed to CNBC that with food shortages coming, now is the time to buy into the food commodities market. As of today, Bloomberg was reporting that Texas was seeing its worst drought in 44 years, with the state’s wheat crop damaged as a result and ranchers forced to reduce cattle herds—a sure sign that food prices will continue to rise.

“In our view, small capitalization companies are best positioned to translate this demand into significant growth,” Patti said. “They are under-represented in other investment options, are typically faster growing and, in many cases, are undervalued relative to mega-cap multi-national companies, making them attractively positioned for growth and for acquisitions by the larger global players. We believe CROP is an efficient vehicle for gaining exposure to this dynamic sector and to these companies worldwide.”

 


Posted at 9:47pm
Tagged food prices food supply food shortage