food shortages


One person comments after reading this report that we are building hummers that run on food while people starve. Pretty sage.

Biofuel is not the total problem, but is sure is a major contributor. It would be different if corn was grown for fuel IN ADDITION to being grown for food, but crops are BEING DIVERTED from food to fuel. Unconscionable.

Great to be "green". Ain't we good though.

Scott Free
I wonder what people think they will eat if our economy collapses?

Do they really think the huge mega farms, seed conglomerates, logistical distribution systems, etc, will function if they aren't getting paid? Do they think they will produce food because it is "the right thing to do?"

This crisis is a wake up call IMO.

The food shortages other peoples in other nations are feeling are all due to the same market factors that also control our food production. No one is lucky forever.
It makes it awfully tempting to put my front yard to potatoes this year folks.

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load Up the Pantry (external - login to view)
Brett Arends
Wall Street Journal
Wed, 23 Apr 2008 07:39 EDT

I don't want to alarm anybody, but maybe it's time for Americans to start stockpiling food.
No, this is not a drill.
You've seen the TV footage of food riots in parts of the developing world. Yes, they're a long way away from the U.S. But most foodstuffs operate in a global market. When the cost of wheat soars in Asia, it will do the same here.
Reality: Food prices are already rising here much faster than the returns you are likely to get from keeping your money in a bank or money-market fund. And there are very good reasons to believe prices on the shelves are about to start rising a lot faster.
"Load up the pantry," says Manu Daftary, one of Wall Street's top investors and the manager of the Quaker Strategic Growth mutual fund. "I think prices are going higher. People are too complacent. They think it isn't going to happen here. But I don't know how the food companies can absorb higher costs." (Full disclosure: I am an investor in Quaker Strategic)
Stocking up on food may not replace your long-term investments, but it may make a sensible home for some of your shorter-term cash. Do the math. If you keep your standby cash in a money-market fund you'll be lucky to get a 2.5% interest rate. Even the best one-year certificate of deposit you can find is only going to pay you about 4.1%, according to And those yields are before tax.
Meanwhile the most recent government data shows food inflation for the average American household is now running at 4.5% a year.
And some prices are rising even more quickly. The latest data show cereal prices rising by more than 8% a year. Both flour and rice are up more than 13%. Milk, cheese, bananas and even peanut butter: They're all up by more than 10%. Eggs have rocketed up 30% in a year. Ground beef prices are up 4.8% and chicken by 5.4%.
These are trends that have been in place for some time.
And if you are hoping they will pass, here's the bad news: They may actually accelerate.
The reason? The prices of many underlying raw materials have risen much more quickly still. Wheat prices, for example, have roughly tripled in the past three years.
Sooner or later, the food companies are going to have to pass those costs on. Kraft saw its raw material costs soar by about $1.25 billion last year, squeezing profit margins. The company recently warned that higher prices are here to stay. Last month the chief executive of General Mills, Kendall Powell, made a similar point.
The main reason for rising prices, of course, is the surge in demand from China and India. Hundreds of millions of people are joining the middle class each year, and that means they want to eat more and better food.
A secondary reason has been the growing demand for ethanol as a fuel additive. That's soaking up some of the corn supply.
You can't easily stock up on perishables like eggs or milk. But other products will keep. Among them: Dried pasta, rice, cereals, and cans of everything from tuna fish to fruit and vegetables. The kicker: You should also save money by buying them in bulk.
If this seems a stretch, ponder this: The emerging bull market in agricultural products is following in the footsteps of oil. A few years ago, many Americans hoped $2 gas was a temporary spike. Now it's the rosy memory of a bygone age.
The good news is that it's easier to store Cap'n Crunch or cans of Starkist in your home than it is to store lots of gasoline. Safer, too.

That's good advice for those who can afford to do so. Being on a fixed income means I live from month to month,but have some foodstuffs extra on hand.
Scott Free
The experience of Russians under Stalin, where he would surround towns and starve them to death, demonstrates that there is a specific order of extinction in a sudden artificial famine.

In order of disappearance:

Birds and other wildlife.
Animals, domestic pets.
The elderly.
Middle aged people.
Everyone else
Very young adults and teenagers (all male) are the very last to go.

The last group tend to gather fairly early on and are the primary reason for the later groups extinctions; as gangs of young men feed on their fellow more vulnerable humans.

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