Are Corn Prices the Reason for Higher Food Costs?
07/12/07
Are Corn Prices the Reason for Higher Food Costs?
With the recent increase in food costs, many have been quick to blame high corn prices as the driving force behind the increase. However, a recent economic report released by the American Farm Bureau shows corn demand to make ethanol has little to do with the recent rise in food prices.
All the evidence points to factors other than ethanol demand, including an early freeze that zapped fruits and vegetables, low world supplies of wheat, milk producers’ cutting back on production in response to last year’s low prices and the rising cost of energy.
But is anyone listening to these facts or are they buying into the latest gossip that corn is the bad guy? While searching the internet, I ran upon a blog that is definitely listening to the facts, it's the Food and Fuel America.com blog. Good and Balanced Food and Fuel News is their motto, and the article I found did a great job of stating the facts!
We have the facts, let's make sure our neighbors know corn is not to blame for the increase in food costs. Instead, blame it on the weather!
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