According to a report from Bloomberg, hog, cattle and poultry raisers are struggling amidst the highest prices of corn and soybean that they have seen in seven years. The prices have driven up the costs of feeding animals by at least 30 percent.
Consequently, meat producers have had little choice but to raise their prices in order to stay profitable. in fact, the United Nations‘ (UN) Food and Agriculture Organization (FAO) reported that global meat prices rose for the fourth month in a row in January.
Experts note the last time meat was this expensive in the United States was almost a decade ago when a costly and severe drought prevailed over the Midwest. Now, meat is again poised to become a driver of inflation.
Bad weather is again the culprit. This time, however, the problem is compounded by growing demand, mainly from China. The country suddenly emerged as the world’s top importer of corn after it ordered roughly 12 million tons of corn from the U.S. last October. China ordered five million tons more from elsewhere.
China’s orders caught the U.S. off-guard and caused experts to wonder whether the purchases were normal or an anomaly. Dan Basse, the president of an agricultural advisory firm based in Chicago, believes the orders aren’t a one-time thing. Basse said it appears China will be a regular importer of corn for years to come.
Meanwhile, the author of the blog Dim Sum, which claims it is “bringing clarity” to China’s economy, asserted that China has had frenzied purchases in the past that were presumed to be the tip of the iceberg and revealed later on to be the edge of a cliff.
The writer went on to argue that the answer to the burning question of whether China’s recent corn purchases are a fluke or not lies in knowing what the corn is being used for. The writer said there are indications that the imported corn is filling warehouses, as well as pigs’ bellies.
in Europe, the combination of pricier feed and stifled demand due to lockdowns may force smaller hog raisers off the market, according to Rabobank, an international cooperative bank based in the Netherlands.
it isn’t uncommon for feed prices to fluctuate. When they do, hog, cattle and poultry raisers would simply take the rough with the smooth, said Mark Gorton, managing director at Traditional Norfolk Poultry in england. But when prices go up as much as they have recently, they start to greatly impact the business, he added.
On the other hand, several countries in Asia saw outbreaks of the deadly African swine fever. Last February, it was detected in at least 10 countries, according to a FAO report. The virus decimated herds of pigs in China. it is still spreading in some countries today, including the Philippines in Southeast Asia.
And unless governments act swiftly, the global food crisis could have severe, long-term impacts on millions of children and adults, said UN Secretary-General Antonio Guterres. (Related: China now facing its own food crisis… is a food collapse also coming soon to the USA?)
i don’t know what the hell this article is talking about as the prices in my local semi rural Ohio supermarkets are just about the same as they have been here for years…the produce is about the same price and the meats are about the same price…and sometimes even cheaper on some items. Some stores are charging a few cents more for canned soup or tv dinners….
This is just more fear porn….don’t believe their shit…. Lots of produce is now coming to us from South American countries in the winter and some are coming as far away as Morocco and even South Africa!!!!
Promote apples. Apples never get good press, as a result, a lot go to waste. Bill Gates was all harping about beef, hey, Your company’s headquarters is/was WA state. WA state is known for good apples. What’s more You can use them to make other stuff. Baked goods, apple sauce, dried/sliced shelf table products, and more. People who are whining need to give out samples of apple butter with the 10-pack of condoms. Eat different, and be responsible. Lots of people cold stand to drop 10# or more. vApples can Help You do that, too.
Monetary inflation already happened. We’re $300 trillion in the hole on debt and unfunded liabilities. Even at zero percent interest, it’s impossible to pay off. Meanwhile, the Givememints is printing like no tomorrow. They will hide rice inflation in several ways: smaller packaging/less volume, cheaper ingredients, and by swapping to generic label foods. Here in Spain, the supermarkets sell almost exclusively their own brands. it’s not necessarily as bad thing as they tend to use quality ingredients since they aren’t wasting millions on advertising.
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