Wheat Shortage May Mean Higher Grocery Bills

[Elmore Furth]

Source: ABC News

Wheat prices spiked Thursday after Russian Prime Minister Vladimir Putin issued a ban on exports as that country confronts grain shortages amidst drought and withering crops, a situation made worse by out-of-control wildfires.

The global ripple effect – other countries possibly hoarding food, grain supplies dwindling, commodities prices rising – is likely to impact a range of food companies and livestock farmers.

Meanwhile, in India, the government there is stockpiling wheat so aggressively that much of it is sitting outdoors under tarps and starting to rot, the A.P. reported Friday.

"A worldwide scramble for wheat supply is on," said Phil Flynn, commodities analyst at Chicago-based PFG Best. "Higher costs for wheat and grains may hurt the economic recovery because a few months down the road it means higher costs for everything from bread to cereal to meat as farmers reduce their herds."

Read more: http://abcnews.go.com/Business/wheat-prices-soaring/story?id=11342436

[Warpy]

1. Maybe six bucks for a loaf of bread

will get through to the climate deniers. There's nothing like kicking them in the wallet--the only place that hurts a winger--to get their attention.

In the meantime, my heart goes out to people who are going to be suffering empty bellies because of this. Hunger hurts, worse than you can imagine, with your imagination plagued by memories of being able to eat.

If most of what you eat is bread or noodles, you're going to be in trouble this winter.

[louis-t]

2. Meanwhile, we pay farmers to not grow things.

(sigh)

[Warpy]

8. Not this year

I think the price for wheat, as established by futures prices, will cause them to plant more, not less. While you think it might be tempting to sit on your ass in stead of producing something (just like Sharron Angle), the truth is that this year producing will also produce more income, and that's what the big growers are looking at.

Remember, the subsidies for leaving land fallow are to keep prices up. When the prices are far above what fallow land will bring, you plant that land.

[kelly1mm]

7. While $6 bread may get some peoples attention, it will probably lead

to the deaths of thousands, if not millions, in the "3rd world" due to starvation.

[Warpy]

9. Nice way

to announce you only read the first sentence.

[kelly1mm]

12. Actually, my direct point was not in the OP excerpt and was not mentioned

till page 3 of a three page article - the last sentence in fact. I thought it may be of interest to DUers that increases here (the US/west) to uncomfortable levels may mean the death of many and so I pointed that out. My bad I guess.

[HereSince1628]

3. One good thing about being a diabetic steering clear of flour?

I miss white bread, I know alternatives, alternatives.

But, the alternatives are just not the same as a Cuban or a BLT on white bread.

[earth mom]

4. I have no doubt this is a market manipulation-just like they tried to do with rice last year.

There was an article in Rolling Stone about how food will is one of the things that Wall Street wants to score BIG on, but I couldn't find the article on the Rolling Stone website the last time I checked.

I will try and find it later or at least find my copy of the magazine and post the title and authors name and a few excerpts.

[DJ13]

6. And oil, which triggered the economic crisis in 08

[Lance_Boyle]

10. 'Skip the oranges, Mortimer - this year's money is in wheat.'

Yup.

[greiner3]

5. Combine all this;

With the fact that the US farmers are now planting record numbers of acres in corn for that almighty government subsidy when they turn that corn into ethanol; we're screwed.

[lovuian]

11. you know its the price of bread that caused the French

Revolution

[Sherman A1]

13. No

Wheat Shortage WILL mean Higher Grocery Prices.

[damntexdem]

14. Oh my God! Global climate change may cause some inconvenience!

Why, populations all over the world may be forced to change some of their practices -- at least those populations that survive.

Costs of food, though extremely important, will just be a part of it.