Surge in Food Prices Expected Through 2012

U.S. News & World Report ^ | 06/12/08

[TigerLikesRooster]

Surge in Food Prices Expected Through 2012

Fuel costs, a weak dollar, global demand, and ethanol production push up food prices

Posted June 12, 2008

A study released today by the former chief economist of ConAgra Foods forecasts record-breaking food inflation through 2012. The report, by Bill Lapp of Advanced Economic Solutions, estimates food inflation will rise by an average of 9 percent annually between 2008 and 2012. The rate is more than three times the average rate of food inflation in the United States in recent years.

The price explosion is due to rising fuel costs, a weak dollar, growing global demand, and the surge in domestic grains used to produce ethanol. The author calls the government mandate for ethanol production "the most significant factor driving corn and other agricultural commodity prices to record levels."

[TigerLikesRooster]

Closet-full of canned food becoming household necessity?

[TigerLikesRooster]

Time has come for “Eat to live.” The days of “Live to eat” is gone.:-)

[Perdogg]

[weegee]

Coincidently this is just when a 2-term Obamanation presidency would expire.

And we "shouldn't" have a bomb shelter to wait out the fallout, or "shouldn't" have a lengthy holding of provision for any natural or civil disaster/unrest, but now we need to stockpile food just because it is going to be increasing turned into "green" energy.

I don't want to eat so many preservatives.

NO FOOD FOR OIL

[Sybeck1]

I look for Soylent Green stock to increase rapidly myself.

[Eye of Unk]

[Perdogg]

Just in time for Dec 21 2012

[CWWren]

If you read this thank a congressrat

[Jack Hammer]

Petroleum products in fertilizer, pesticide, packaging, delivery trucks, etc etc etc When oil goes up, everything goes up.

[snarkytart]

Yup. I feel bad for the working poor, or the elderly on a fixed income.

[dirtboy]

The report, by Bill Lapp of Advanced Economic Solutions, estimates food inflation will rise by an average of 9 percent annually between 2008 and 2012.

And non-core inflation in the US will be reported at 3-4 percent during this time, I'm sure.

[TigerLikesRooster]

Yup. The price of flash memory would be dropping sharply.:-)

[TomGuy]

A study released today by the former chief economist of ConAgra Foods forecasts record-breaking food inflation through 2012.

Yet, we still have the loyalists claiming inflation is miniscule.

That points up the theme for November:

Status quo or change?

It will depend on the pocketbooks of the voters. If they ‘feel’ comfortable, they will vote status quo. If they ‘feel’ crunched, they will vote change.

Quiz:

1. $4+/gal gasoline lends itself to (a) feeling comfortable or (b) feeling crunched.

2. Double-digit percentage grocery price increases lends themselves to (a) feeling comfortable or (b) feeling crunched.

3. Significantly increased utility bills (electric, heating) lend themselves to (a) feeling comfortable or (b) feeling crunched.

Tally:

If you chose (a) for 1, 2 or 3, you are a clueless big-business Republican who spends more time at the country club than at the grocery store.

[Ron H.]

It is in my household. Has been since late winter. Been reading the economic tea leaves.

[Ron H.]

Just in time for Dec 21 2012

I too noticed the date similarity as well. Seems that 2012 is getting mentioned a lot more these days. A variety of reasons for it but none the less mentioned just the same.

[Ron H.]

Yup. I feel bad for the working poor, or the elderly on a fixed income.

And to top it off those on fixed incomes and count on yearly COLA's to help at least a little will suffer even more because the COLA is rooted in the way the government calculates the inflation index. If the government reports only a 2.5% inflation annual rate in reality it is around 4.5% to 5.5% because of what isn't included in the index which amounts to mainly what these people need and that is food stuffs, gas for the auto, oil, natural gas or and electricity and etc.. The next COLA will be pithy indeed.

[Ron H.]

Yet these very same "crunched" people will still fall for the same old fashioned scare tactics used by the major parties to keep them in line. Just scare them to death and they'll forget about what's really important to everyone. Never fails. That's why people end up with the government they deserve. </sarcasm>

[RSmithOpt]

“and word you care for a paisley short-sleeved shirt, a digital TV, and 4 GB memory stick to enjoy as your breakfast this morning, sir??”

[RSmithOpt]

word=would sheesh, my mind is gone this week.

[TigerLikesRooster]

LOL.