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Western drought spells killer grocery bills
Market Watch ^ | February 7, 2014 | Myra P. Saefong

Posted on 02/09/2014 12:05:15 AM PST by 2ndDivisionVet

Much like the polar vortex spiked demand and prices for natural gas in the eastern U.S., another weather phenomenon — a severe drought — is threatening cattle and milk production and food crops in the West.

It’s a threat that can last for months and year, and parched conditions have already driven up prices on milk and cattle futures.

“The hardest hit section of California is the Central Valley — ‘the supermarket to the world’ — and [it’s becoming] increasingly clear the region won’t see relief from the devastating drought anytime soon,” said Kevin Kerr, editor of CommodityConfidential.com. “Retail prices for many key agricultural commodities could jump.”

That means consumers may see higher prices for everything from beef and milk to wheat, nuts and vegetables, and it’ll take time for supplies to replenish.

Drought conditions cover more than 37% of the 48 contiguous states, according to the U.S. Drought Monitor . MDA Weather Services said about 67% of California alone is currently experiencing extreme or exceptional drought conditions.

The state’s Gov. Edmund “Jerry” Brown, Jr. declared a drought State of Emergency on Jan. 17, calling on California’s residents to voluntarily cut water consumption by 20%.

The state is “already taking steps to limit water usage, so it is likely that irrigation supplies will be limited as well,” said Kyle Tapley, senior agricultural meteorologist of weather services at MDA Information Systems LLC....

(Excerpt) Read more at marketwatch.com ...


TOPICS: Business/Economy; Culture/Society; US: California
KEYWORDS: agriculture; drought; economy; farms; food; foodprices; watershortage
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To: cripplecreek

Exactly.


41 posted on 02/09/2014 4:55:51 AM PST by 9YearLurker
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To: who_would_fardels_bear
The good news is that none of this will contribute to inflation. Because as the government knows food and energy prices fluctuate so much that they can safely be eliminated from the core inflation measure.

Yep, only a 01.5% percent inflation last year, according to the Social Security Administration.

42 posted on 02/09/2014 4:58:16 AM PST by Graybeard58 (_.. ._. .. _. _._ __ ___ ._. . ___ ..._ ._ ._.. _ .. _. .)
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To: cripplecreek

That’s right—CA agriculture has been having federal taxpayers subsidize their labor for years.

Spread it out a little more through the country and let more college kids, for example, be paid just for the seasonal work that’s needed.

Oh, and while we’re at it, let’s stop with the farce that has seasonal workers getting unemployment insurance once a particular season’s work is over!


43 posted on 02/09/2014 4:58:31 AM PST by 9YearLurker
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To: BushCountry

Ain’t my state,,


44 posted on 02/09/2014 5:01:56 AM PST by piroque ("In times of universal deceit, telling the truth becomes a revolutionary act")
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To: vette6387

Been all over California and love most parts of it but I have to say don’t pat yourself on the back too hard. What can’t be grown there can be grown in other states. I would go as far as to say the most heavily consumed products in California are not even grown there or not at the level to supply the state. I like my beef, wheat and corn, if I need vitamin C I’ll eat a jalapeno. Take all the land thats sitting in CRP programs and put it back to work and we would be drowning in food products. Theres nothing growing in California that I need to survive.


45 posted on 02/09/2014 5:07:08 AM PST by Dusty Road
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To: Dusty Road

People should study what their own states do produce. I think they might be surprised.

My state is known for growing tart cherries (some 70% of the cherries produced for canning in the USA). We’re the biggest producer of potatoes for potato chips. We have some 38,000 acres growing apples. We’re one of the top producers of carrots. We used to be a big producer of leafy greens that did well in the cooler wet climate.


46 posted on 02/09/2014 5:27:50 AM PST by cripplecreek (REMEMBER THE RIVER RAISIN!)
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To: cripplecreek

When I was a kid we went on vacation up to Oregon, I spent a week with the other kids up there picking strawberry’s and cherry’s. I still can’t eat a cherry after that, we were eating them right off the tree.


47 posted on 02/09/2014 5:42:19 AM PST by Dusty Road
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To: 2ndDivisionVet

At least there’s no general inflation causing prices to rise....oh, wait.


48 posted on 02/09/2014 5:46:53 AM PST by trebb (Where in the the hell has my country gone?)
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To: 2ndDivisionVet

Self-imposed drought. The snail darter fishy is more important than the people and water for the people and crops...Kalifornia!


49 posted on 02/09/2014 5:53:20 AM PST by Road Warrior ‘04 (Molon Labe! (Oathkeeper))
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To: 2ndDivisionVet

The way to solve this problem is for a conservative president to create a *federal* desalination plant in central California, something the Californians have refused to do for environmental reasons.

Powered by natural gas, it would then pipeline in huge amounts of fresh water to the Central Valley, with diversion to southern California if there was adequate water in the CV.


50 posted on 02/09/2014 6:12:59 AM PST by yefragetuwrabrumuy (WoT News: Rantburg.com)
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To: vette6387

“Most of the rest of the country fails to understand that California’s wealth isn’t in the Silicon Valley, but rather in the Central Valley farming by a huge margin. that is the richest, most productive land in the entire country, but it takes water to function, unlike the dry farming done in most of the rest of the country.”

And now we look at the fragile thread you hang by. Sorry but I’ll say it again “don’t pat yourself on the back too hard”. Theres nothing you grow in California that can’t be grown in other area’s of the US.


51 posted on 02/09/2014 6:22:10 AM PST by Dusty Road
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To: 21twelve

“Just so it doesn’t cut into the corn ethanol yields.”

I hope it totally wipes them out!!!!


52 posted on 02/09/2014 6:25:35 AM PST by dalereed
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To: R_Kangel

Obviously some of this drought is self-inflicted, while other parts are an act of God.

I would really like to see some discussion of how this splits out quantifiably.

Do you have a link?


53 posted on 02/09/2014 6:51:14 AM PST by Sherman Logan
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To: 2ndDivisionVet

I live in Fresno County. I don’t mind the plantings along the freeways, and the vegetation seems to be chosen to need less water. But almost every road within Fresno has trees/plantings in the meridian that need water and upkeep. Looks great BUT I think is a waste of water and manpower.


54 posted on 02/09/2014 7:36:29 AM PST by kiltie65
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To: 9YearLurker; cherry
Agree with Lurker and adding that appropriate crops should be planted according to the climate. In Texas, we've had fights for years with the rice farmers who stomp their feet over never having enough water. They drain our lakes and rivers dry upstream and causing those businesses to close that depend on the rivers. Towns around the rivers don't have drinking water causing them to have to drill for more water sources and haul in water which causes more economic strain. Then there are the electric power plants that generate from the rivers. No water means no electricity. A radical idea would be to NOT grow rice but some other crop that doesn't require so much water.

I posted this pic a couple years ago of the Pedernales River. Those are "floating" boathouses on dry land. Those people still have to pay triple or more in property taxes for waterfront property whether there is water or not. The people have private (not public) water wells so have to haul in water. Same as in CA, crops weren't growing and livestock had to be sold off but, hey, the almighty rice farmers who have lobbyists come first!

55 posted on 02/09/2014 7:55:54 AM PST by bgill
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To: vette6387

There is water wasted all across the country. Take Las Vegas that is trying to turn a dry desert into green golf courses and lush lawns.


56 posted on 02/09/2014 7:58:50 AM PST by bgill
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To: bgill

Wow—great example!


57 posted on 02/09/2014 7:59:05 AM PST by 9YearLurker
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To: Dusty Road
And now we look at the fragile thread you hang by. Sorry but I’ll say it again “don’t pat yourself on the back too hard”. Theres nothing you grow in California that can’t be grown in other area’s of the US.

I've tasted wine made from grapes grown in states other than California, Oregon and Washington....

No thanks....

58 posted on 02/09/2014 8:02:07 AM PST by freebilly
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To: P.O.E.

A 5 lb tube of 73% ground beef was $14.98 last weekend. Three years ago a 10 lb tube was $13. My paycheck hasn’t increased at that rate. Snort, my paycheck is less than it was.


59 posted on 02/09/2014 8:10:57 AM PST by bgill
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To: 2ndDivisionVet; P.O.E.
Nowhere near that here. The price difference from state-to-state is amazing.

Say what? I just called HEB and their 93% is $4.68. Our Texas prices are more than P.O.E.'s in PA.

60 posted on 02/09/2014 8:23:40 AM PST by bgill
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