Ethanol = Rising Food Prices

Submitted by SadInAmerica on Wed, 02/13/2008 - 6:05pm.

We are witnessing the beginning of one of the great tragedies of history. The United States, in a misguided effort to reduce its oil insecurity by converting grain into fuel for cars, is generating global food insecurity on a scale never seen before.

 

Yes, I’ve said this before, but this time the link came from a pretty reputable environmental and bird watching blog, 10,000 Birds, who in turn linked to the Earth Policy Institute. Every new article helps to convince people of the things some of us already know!

We are witnessing the beginning of one of the great tragedies of history. The United States, in a misguided effort to reduce its oil insecurity by converting grain into fuel for cars, is generating global food insecurity on a scale never seen before.

The world is facing the most severe food price inflation in history as grain and soybean prices climb to all-time highs. Wheat trading on the Chicago Board of Trade on December 17th breached the $10 per bushel level for the first time ever. In mid-January, corn was trading over $5 per bushel, close to its historic high. And on January 11th, soybeans traded at $13.42 per bushel, the highest price ever recorded. All these prices are double those of a year or two ago.

As a result, prices of food products made directly from these commodities such as bread, pasta, and tortillas, and those made indirectly, such as pork, poultry, beef, milk, and eggs, are everywhere on the rise. In Mexico, corn meal prices are up 60 percent. In Pakistan, flour prices have doubled. China is facing rampant food price inflation, some of the worst in decades.

In industrial countries, the higher processing and marketing share of food costs has softened the blow, but even so, prices of food staples are climbing. By late 2007, the U.S. price of a loaf of whole wheat bread was 12 percent higher than a year earlier, milk was up 29 percent, and eggs were up 36 percent. In Italy, pasta prices were up 20 percent.

“One of the great tragedies of history” brought on by the fear-mongering over global warming. Should we pollute less? Yes. Should we conserve more? Yes. Should we preserve more habitat? Yes. Is it in our best interests long-term to wean ourselves from oil? Yes (for both national security and environmental reasons). Should we be hastily attempting to replace oil and other fuel sources with not-so-well-thought-out alternatives simply because the hard left wants us to believe environmental holocaust is at hand? No. Should we be afraid to attempt to bring the truth to the forefront simply because the left will attempt to silence (via ridicule, ad hominem attack and hyperbole) anyone who doesn’t swallow the global warming meme? No.

At least even some of the more “left-leaning” sites might be recognizing this, now. 10,000 Birds, for example, has a blogger who has declared that he will offset all of his birding activity by participating in some of the carbon-offset programs available. At the same time, the site appears to be recognizing that some of the alternative solutions to global warming are not all they’re cracked up to be.

 

by Liberty Pundit - January 28, 2008 - posted at www.reuters.com

This post is from an independent writer and is not directly connected with Reuters News

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Submitted by SadInAmerica on Wed, 02/13/2008 - 6:05pm.