Posted on 03/29/2022 6:21:22 PM PDT by blam
The White House’s chief economist told reporters at a daily press briefing on Monday that American farmers will respond to “price signals” to increase crop production to mitigate food shortages worldwide following Russia’s invasion of Ukraine.
A reporter asked Cecilia Rouse, the chair of President Joe Biden’s Council of Economic Advisers, about the White House’s plan to deal with food shortages when it comes to wheat.
Rouse said, “well, first we are a net exporter of many food commodities, and farmers respond to price signals, and so with the price of food rising, they will be responding by making additional plantings and try to take advantage of increase pricing.”
She added: “The market will work as the market will work.”
Council of Economic Advisers Chair Cecilia Rouse is asked how the White House is planning on dealing with food shortages. pic.twitter.com/MpJUghx63R
— The Post Millennial (@TPostMillennial) March 28, 2022
The war in Ukraine has disrupted the global food supply. Russia and Ukraine account for more than a quarter of the international wheat trade, about a fifth of corn, and 12% of all calories traded globally.
We’ve outlined the emerging market countries that will first feel the brunt of food price shocks and shortages. Bloomberg data shows the most reliant countries on Ukraine wheat, including Egypt, Indonesia, Bangladesh, Pakistan, and Turkey.
The UN’s Food and Agriculture Organization forecasts that global food prices could soar another 8%-20%.
The issue with Rouse’s response is that the costs of plantings have skyrocketed. Fertilizer and diesel prices are at record highs, and this may deter some farmers from additional plantings or even switching crops that require less fertilizer. The farmers who decide to plant wheat may spread less fertilizer on fields, which could impact harvest yields later this year.
Bread, cooking oils, and meat prices have surged. Countries are now adopting food protectionism (see: Argentina) by limiting or ceasing exports of farm goods to mitigate domestic shortages.
Last week, President Biden warned that there could be global food shortages:
“We did talk about food shortages. And it’s going to be real. The price of these sanctions is not just imposed upon Russia, it’s imposed upon an awful lot of countries as well, including European countries and our country as well,” Biden said at a presser in Brussels.
As we’ve previously noted, the ”Media Isn’t Warning You” That US Careening Towards Food Crisis,” maybe the White House should refocus its efforts on securing domestic supplies first before exporting farm goods abroad. The last thing Biden needs before midterms this fall are food riots.
Nah. Make more ethanol or pay them to NOT grow stuff. 😡😡😡😡
With diesel and fertilizer prices, farmers will more likely do the minimum necessary to stay solvent.
I’ve heard cattle herds are being culled because it’s too expensive to feed them.
Almost all land not being used to grow food is being used to grow corn for ethanol. What we need is to get rid of ethanol subsidies for growing corn and to stop diluting motor fuels and wasting diesel farming corn we no longer need.
You can’t “dog whistle” farmers to produce more when they have no fertilizer to feed the crops and no diesel to run the farm machinery you stupid morons!
There isn’t one damn person in this administration who knows anything about economics.
Duh, the farmers will just make more. Just like the windmill will make more electricity.
And no herbicides.
Oh ya ?
Well , joe,
your fellow prochomo buddy gavin here in shasta county
just cut off all our counties water for agriculture ,
other counties will probably too,
cuz they pissed all our resivour water to the ocean ,
so that combined with no fertalizer
and sky high fuel prices
means you can count California farmers out of your fantasy plan.
Moron.
Cecilia Rouse= Joe
The idiots who write this💩about farming. If the farmer produces more crops, the people buying the food pay more due to what it cost him. The elites aren’t going to get nothing unless the farmer his family and hired folks eat. They can cook an eat other
I saw a farmer reply on another thread this more believable take on the situation regarding the farmers he deals with.
“I do a bunch of custom work both planting and harvesting for other local farmers as it is more lucrative but as this has all unfolded many of my customers have already canceled plans for me to farm their fields even before I have told them that harvesting costs will be double this year. I would say about 80 percent have already bailed on me this year. Gonna be a hard year for everyone I reckon.”
The Left will as usual propose arcane legislation bloated with expense (from which they will take their cut) to deal with the problem, which will do absolutely nothing to solve it.
Actual leaders like Trump or DeSantis, on the other hand, would turn the problem over to American private industry, which would find solutions in weeks or months. Days, maybe.
It’s a cliche, but our choice has never been more clear. The Left needs to go.
Bryan Dean Wright
https://twitter.com/BryanDeanWright/status/1508191757351075840?s=20&t=m7noEBDTimTptL1Lo-JFSg
Maybe they will fertilize their crops with demand curved.
Cecilia Rouse, another incompetent affirmative action hire — excuse me, “diversity hire.” California skank, went to Princeton,
“expert” on unions, knows food comes from farms but no idea how or why.
“The Left will as usual propose arcane legislation bloated with expense (from which they will take their cut) to deal with the problem, which will do absolutely nothing to solve it.”
I believe they will do more than that. They will use food shortages to increase their control over the population. It could be worse than Covid regulations.
The White House’s chief economist is talking nonsense.
My neighbor, who plants roughly 5000 acres of row crops, told me he is planting no corn this year due to fertilizer costs.
Wonder why everyone bought all those guns and ammo? Seems to me the peasants marched on Frankstein’s castle with torch’s, pitchforks, and scythes. Amazing what technology can do.
My buddy told me in two years time, one 30 gal herbicide for his farm went from $360 to $1800
I’ve talked to cattle ranchers here in North Idaho the past year. Last summer, they were culling their herds because of extreme drought and very high feed prices. It’s probably a LOT worse today than last July.
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