Thanks for reminding me on that forecast lol, got a potential grad party going on and for people traveling might be an issue ...
And to add why is also orange juice(my morning wake up $4.99) and cereal (my favorite bedtime snack $5.99) at ridiculous prices???? And how is pizza over $2.50 a slice ... wow... :irked:
It's a multi factor answer.
First off the obvious is the high cost of gas. Takes gas to make fertalizer, drive farm equipment, drive the goods to where it needs to go, reprocess the raw goods into what you want (flour, juice, and cereal). High gas prices = high costs for everything else.
Secondly since gas is so expensive, we are stupidly pouring money into making ethanol, which the subsidized farmers are using their land to grow inefficiently ethanol producing corn. That land used to grow crops that we used to never import like wheat. Ethanol would be much better if we were using land and crops that would normally not be used for food.
Thirdly is protectionist trade barriers, Not in the normal sense in importing stuff. But more like banning the export of foods, Recently in a lot of asian countries their rice crops didn't come in very well this year so their governments have banned the export of food stuffs like rice. You can also blame things like subsidies for this phenomenom too, as countries that cannot afford to give their farmers subsidies cannot compete in producing their own food so they import it instead of growing it on their own. Example: African nations, Has lots of unused land but dirt poor so they import food and instead export things like diamonds and other raw materials.
Lastly there is upward pressure on the global food market because there is a markedly increased number of people that can afford things like meat, which from what I last heard it takes 3lbs of grain to make 1 lb of meat. So instead of growing crops to feed humans we are using crops to feed animals that will feed humans.
So all in all it really is a decreased supply of food with an increase in demand. Making food prices
skyrocket.
