Posted on 08/08/2008 6:30:16 AM PDT by shrinkermd
Companies throughout the food chain are changing the way they do business in response to soaring grain costs, and consumers are likely to bear the brunt in the form of rising food prices.
Farmers are making the broadest cuts to their livestock herds in decades, meaning meat at the supermarket will likely cost more in coming years. Middlemen are trying to shorten the duration of supply contracts to 90 days from one year so they can pass on higher costs more quickly. And food brands are shrinking the contents of their packages, from ice-cream cartons to beverage containers.
...In another measure, the cost of the groceries that the federal government suggests middle-class families buy to have healthy diets rose 8.6% in June compared with the same month a year earlier.
Michael Swanson, an economist at Wells Fargo & Co., thinks the food inflation rate could rise as high as 6% next year. Paul Prentice, president of Farm Sector Economics, Colorado Springs, Colo., said he expects retail food prices to rise about 7.5% in 2009.
The U.S. Department of Agriculture sees food prices climbing 4.5% to 5.5% this year and 4% to 5% in 2009. Even under this more conservative forecast, the average family of four would see its annual food costs hit $9,800 in 2009, up about $1,200 since 2006.
Meat is a big reason economists think food inflation has legs.
(Excerpt) Read more at online.wsj.com ...
Could be a good thing. If Americans start eating less because they can’t afford food, maybe our obesity rates would come down. We are the fattest country in the world with an obesity rate of 30.5%
We don’t eat out much but went out to eat last night for our daughter’s birthday. I couldn’t believe the portion size of a pasta dish I ordered. I think I managed to choke down about 25% and took the rest home in a doggy bag.
finally cure for obesity
Okay...no more corrrections.
I read that as over the last year (June to June) food prices have increased 8.6%. Not 8.6% in June 08.
You know, every time someone mentions ethanol, something bad is also mentioned. I think we should conclude that there is nothing good that comes from ethanol.
Here in Missouri, Sarah Steelman and Kenny Hulsof were running for the Republican nomination for Governor.
Hulsof supports the state’s 10% Ethanol mandate; Steelman opposed it and would rescind it.
Hulsof won...because the Republican establishment supported him. Sound familiar?
We rarely go out, either. When we do I always order something that will heat up easily for lunch the next day, LOL!
Portions are amazingly HUGE just about anywhere.
Those of us who know how to fish, hunt, garden, preserve food, make our own beer, cook from scratch, crochet or knit, sew and simply know how to sew on a button will one day be revered as gods! :)
“MARKET FORCES WORKING NORMALLY”
This is news?
We can’t eat our way out of starvation. But can we pump air into livestock to get more meat from them?
“And farmers all over the country are replacing soybeans and other crops with corn as a result, which means across-the-board rises in crop prices.”
Except for the really smart farmers. We have 700 acres of soybean around us. Soybeans are selling for $12.39 a bushel and will most likely go up nearer harvest. Corn has fallen to $5.42 a bushel. (But that’s still historically high for corn.)
There’s ALWAYS money to be made in any market. I love it when the Dims try to screw Americans. A lot of us are smart enough to outwit them at every turn...it’s the DOLTS that keep voting for them that are the problem to the markets as a whole, but are a blessing to we ‘Contrarians.’ : )
One small note about milk prices: Be sure to only buy milk with the organic or hormone free label 'rBGH Free.' All other milk is tainted with growth hormone. Hormone free milk costs a little bit more . . . I knew there was a hidden reason why so many of our kids look overweight just like their parents. Hormones are fed to and injected into cattle are poisoning our population. Even ice cream is tainted.
Have you seen dairy cows lately ____________ ? Their bodies are bent, hooves are collapsing and their udders drag in the mud. Dairy farmers got in line for profit just like the meat industry.
“Their bodies are bent, hooves are collapsing and their udders drag in the mud. Dairy farmers got in line for profit just like the meat industry.”
You’ve got to be grossly generalizing, there. I live near four dairy farms and dairy goat operations. Those animals are the bread and butter of those operations; they’re not abused. Do you know how much a dairy cow costs to purchase, let alone maintain? There’s not a huge profit margin in dairy and an ill-treated animal won’t produce a good product.
Don’t drink the rBGH Koolaide via the likes of Meryl Streep and other lefties. As for scare stories by the HSUS? Do your research. They’re as bad as PETA! Scary stories about abused animals and danger to your children bring in the cash, Baby!
Granted, it’s YOUR CHOICE what to feed your kids, but sweeping generalizations about dairy production aren’t called for. There are 14,000 (FOURTEEN THOUSAND!) dairy farms in my state alone. If there was wide-spread abuse, the Lefties in our County Seat would be swinging from the steeples shouting about it. You don’t earn the title of “America’s Dairyland” through abused animals that don’t produce quality milk.
Don’t curse a farmer with your mouth full. :)
Hillary!
rBGH Free labels are popping up everywhere. I used to have to look for specific labels like Dairy Gold. Now RiteAid is selling hormone free milk by the gallon. At reduced prices.
For the last three months I've been looking for ways to cut that bill and this month I got it below $500 with a LOT more bang for the buck.
The kids and I have been canning like crazy (next week I'm on the hunt for bushels of tomatoes for less than $10 each) and I'm making as many of my own cleaning products. (It's amazing what one can do with only baking soda and vinegar. Can't seem to give up the Tide and Dawn, though.)
All I need is a $300 engine hoist and some new blades for our Saws All and we can butcher our own steer. My daughter's boyfriend's grandfather has volunteered to take us to the auction to help us pick out a good (600 lb) steer and bring it back to our place. Slaughtering and quartering it isn't the problem, but I am a little concerned about making the finer cuts. I just don't want to pay 50 cents a pound for someone else to do it.
Breakfast cereal has been replaced with buttered grits and eggs. We're making our own cottage cheese and yogurt.
By the end of the year, the plan is to get our grocery bill below $300 a month. I thank my mother for teaching me a lot of this and I'm really happy to pass this knowledge on to my kids.
Wish us luck!
Could you please pass on any tips you may have? I’m collecting them! :-)
THANK YOU! Our electric, garbage, water, and groceries have gone up by 15-36% over the last 4 months! Not to mention the gasoline!
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