Doomsday Scenario: Food Prices to Shoot Through the Roof.

[Ponce]

Anyone cares to make fun of my seven years of food in stock?......and of course, not to mention my 1,875 rolls of tp hahahahahahahahahahahahahahah
================================================== ==========================


Doomsday Scenario: Food Prices to Shoot Through the Roof.
Front page / World / Americas
30.08.2010 Source: Pravda.Ru


The worst weather on record coupled with the practice of speculation in the commodities markets are set to send food prices skyrocketing, bringing misery and starvation to large swathes of the world’s population. Are we set to see food riots this winter?


In the USA, Walmart has already announced a price hike of 5.8% on average for a 31-item basic basket for this Autumn. The long-term rise, however, is far more frightening, with the UNO predicting an increase of 60 per cent by 2030.

What is happening?

When there is a massive price spike, such as the case in recent years, followed by more price rises (as is the case today) the markets panic and speculative buying sends the prices through the roof. The market economy system is indeed not all about supply and demand but is also, and fundamentally, fuelled by speculative trading, with spot buyers buying future positions of commodities. When they are scarce, and the more so when the market senses that a scarcity exists, the price goes up.

This is what is happening today. September corn is up by 3.6% a bushel, wheat by 34 cents. In July the price of wheat shot up by the highest quantity in the last 50 years: 42 per cent. This in turn will push up prices of pasta, bread and cereals in the near future.

Prices set to rise for 12 to 18 months

Analysts predict upward trends in wheat, corn, soybeans, bean oil and bean meal and the general feeling is a continued rising trend over the next 12 to 18 months. As usual, no mechanisms have been activated to protect the world’s poorer populations from the dramatic effects of supply issues and the resulting speculation in prices.

Global production downturn

Russia reports a drop in production of around 20 per cent due to dry weather conditions. Drought has also affected Ukraine (where maximum production is set to reach just 66% of domestic demand) and Kazakhstan, while floods have affected 13 million acres of cereals in Canada and have wiped out a large part of China’s harvest. Germany’s wheat production is ten to twenty per cent down on 2009; in Argentina dry conditions mean that only 80% of the arable land for cereals has been planted.

The S word: Speculation


In today’s market economy system, what drives the prices is not only supply and demand but also the S word: Speculation, where a handful of players push prices sky high and way beyond the reaches of the pockets of the average consumer. If the system were based upon supply and demand then the price of soybean would be bearish (top-down attack, falling), because the main producers (Brazil, Argentina and the USA), have had a good harvest. Then why is the price of soybean bullish (bottom-up attack, rising)?


Because cash premiums are forcing the soybean futures rates higher as a process of over-consumption of soybean is noticed in the marketplace (soybean is present these days in most foodstuffs and other consumable items). So much so, that the price of soybean would have to rise a further 50 to 80% to curb the current demand.

And it makes sense for this to happen…and that is going to affect the price of everything we eat.

Couple this with the rising cost of transportation (crude and natural gas prices are set to rise from September) and we see our comfortable little monetarist-oriented market economy system has engendered another fine crisis looming on the horizon. Watch this space.

Vast swathes of the planet are set to go hungry. Those who were previously hungry may starve. It is the Doomsday Scenario and it is upon us. And it is caused not by the lack of supply or scarcity of abundance. It is caused by this manic, inhumane system, the S-word, Speculation.

Timothy BANCROFT-HINCHEY

http://english.pravda.ru/world/americas/114809-1/

[Liquid]

Anyone cares to make fun of my seven years of food in stock?......and of course, not to mention my 1,875 rolls of tp hahahahahahahahahahahahahahah
================================================== ==========================



Nobody is laughing at 7 years worth of food...but by gosh darn that's a lot of TP!!

I have a stowage issue, I guess I'll have to settle for a lesser amount of tp, and perhaps some silver to barter with you when I run out.

I hope you accept silver, ponce. ;D

[EE_]

I'm stocked
http://www.heirloomseeds.com/

[skid]

My garden has done well this year. That should lessen the impact to me.

[Ponce]

Sure Liquid, one once = one roll, you will say no but your little lady will say YESSSSSSSSSSSSSS hahahaha.

[Horn]

I've seen many burnt up corn fields, think it was bad weather caused... too much rain, then not enough?

The food giants will spread their losses across the board and spread them to everyone else.

[Johnny Ringo]

Way back in B.C. (before children), the old lady and I were socking away as much as $1500/mo in mutual funds. What sheep, eh? Imagine how much silver that would have bought back in the early 90s.

Anyway, even though our income is higher than ever, I realized I wasn't investing in anything at the moment - even my occasional purchases of silver have stopped. So where's it going? Well, for the past two years, my "investing" has been in food. I order anywhere from $200 - $600 per month from whomever has the best sale going on.

My wife's laughing at me and pissed at the same time. She laughs at me because thinks I'm nuts, and she bitches because we're running out of space to store the stuff. I just tell her and the kids to keep laughing at me. We'll see who's laughing when I'm inside eating my preps and they're outside eating grass off the lawn (no, I'm not sharing! Not until I get some serious apologies, anyway.)

Seriously, living in Florida, I've seen first hand how quickly the grocery shelves get emptied. It gets real ugly, real fast.

[Heimdhal]

Way back in B.C. (before children), the old lady and I were socking away as much as $1500/mo in mutual funds. What sheep, eh? Imagine how much silver that would have bought back in the early 90s.

Anyway, even though our income is higher than ever, I realized I wasn't investing in anything at the moment - even my occasional purchases of silver have stopped. So where's it going? Well, for the past two years, my "investing" has been in food. I order anywhere from $200 - $600 per month from whomever has the best sale going on.

My wife's laughing at me and pissed at the same time. She laughs at me because thinks I'm nuts, and she bitches because we're running out of space to store the stuff. I just tell her and the kids to keep laughing at me. We'll see who's laughing when I'm inside eating my preps and they're outside eating grass off the lawn (no, I'm not sharing! Not until I get some serious apologies, anyway.)

Seriously, living in Florida, I've seen first hand how quickly the grocery shelves get emptied. It gets real ugly, real fast.


QTF

Ive posted many times, both here and at GIM-1 of my experiences working at south floridas largest super walmart during the 04 hurricane season. I was 18 at the time, and long story short, I got a super important lesson in keeping preps on hand.

Even in a non-serious emergency, and lets face it, thats what it was in 04 and 05 for us, no power and some with no city water, but not much more serious than that, these people were almost killing each other.

My wife and I are lucky to have 50$ left at the end of the month after bills. It goes into tangible investments, including preps because I never want to be in that situation. Prepping is now a way of life and no hurricane, which is our most probable SHTF scenario in florida, would slow us down for a minute, barrin our house doesnt blow away (and it likley wont).

[Ponce]

Knowing what having no food means (from Cuba) and knowing what is going to happen in the US made me get ready for it.........ten years on the making with no end that I can see.

"To be ready is not"... Ponce

[Twisted Titan]

Way back in B.C. (before children), the old lady and I were socking away as much as $1500/mo in mutual funds. What sheep, eh? Imagine how much silver that would have bought back in the early 90s.

Anyway, even though our income is higher than ever, I realized I wasn't investing in anything at the moment - even my occasional purchases of silver have stopped. So where's it going? Well, for the past two years, my "investing" has been in food. I order anywhere from $200 - $600 per month from whomever has the best sale going on.

My wife's laughing at me and pissed at the same time. She laughs at me because thinks I'm nuts, and she bitches because we're running out of space to store the stuff. I just tell her and the kids to keep laughing at me. We'll see who's laughing when I'm inside eating my preps and they're outside eating grass off the lawn (no, I'm not sharing! Not until I get some serious apologies, anyway.)

Seriously, living in Florida, I've seen first hand how quickly the grocery shelves get emptied. It gets real ugly, real fast.



I found your Buddy....... ;D



http://www.youtube.com/watch?v=QovBLFZhQME

[chad]

this story has been posted on gim every year going on 4 years (that i'm aware of). it never happens.

[k-os]

I've seen many burnt up corn fields, think it was bad weather caused... too much rain, then not enough?

The food giants will spread their losses across the board and spread them to everyone else.




So true. All the way through Kentucky to Missouri I saw dried up, mature corn fields. I must have driven 350 miles today, and I only saw one healthy corn field.

[EE_]

I've seen many burnt up corn fields, think it was bad weather caused... too much rain, then not enough?

The food giants will spread their losses across the board and spread them to everyone else.






So true. All the way through Kentucky to Missouri I saw dried up, mature corn fields. I must have driven 350 miles today, and I only saw one healthy corn field.


Any pictures yet?
How's the crew doing...are they getting used to the trip?

[k-os]

I've seen many burnt up corn fields, think it was bad weather caused... too much rain, then not enough?

The food giants will spread their losses across the board and spread them to everyone else.






So true. All the way through Kentucky to Missouri I saw dried up, mature corn fields. I must have driven 350 miles today, and I only saw one healthy corn field.


Any pictures yet?
How's the crew doing...are they getting used to the trip?


Yep, I even took pictures of the dried up corn fields! I have a really bad internet connection, but when I go to the 'clubhouse' tomorrow to work, I'll post some pictures.

The dogs are doing OK. We had a long day of driving today. Now they are all tuckered out.

[Liquid]

Sure Liquid, one once = one roll, you will say no but your little lady will say YESSSSSSSSSSSSSS hahahaha.


That's expensive Ponce! One ounce a roll? Highway robbery. I may give a merc dime for a roll if I get desperate enough.. If I had a lady friend that demanded one ounce a roll...I'd get a new lady friend. ;D

[Ponce]

To a man it the dessert with no water a gold coin is nothing for a glass or water.....to a woman in need a silver round is nothing to be clean........hummmmmmmm, I wonder how many girlfriends I can get with what I have, I'll have the pick of the litter.......I'll better highjack another truck of Viagra ;D

[StackerKen]

Right now,here in the Central valley of Ca. there are tons of fields of corn growing

I think most of it is for cattle feed though.

[Joe King]

I've seen many burnt up corn fields, think it was bad weather caused... too much rain, then not enough?

The food giants will spread their losses across the board and spread them to everyone else.




So true. All the way through Kentucky to Missouri I saw dried up, mature corn fields. I must have driven 350 miles today, and I only saw one healthy corn field.
I wouldn't worry about that too much if they are tall, mature stalks as they die and dry out prior to harvesting.
Now, if the stalks are immature and/or have poorly developed ears, then yea, it's a problem.

Next time you see 'em like that, stop for a moment if you can and go over to the edge of the field and take a look at the ears and see what they look like.

Look at this pic of field corn being harvested. (http://img21.imageshack.us/img21/6529/cornharvest.jpg) Not a bit of green on any of them, but there's certainly something there to harvest.

[Horn]

I've seen many burnt up corn fields, think it was bad weather caused... too much rain, then not enough?

The food giants will spread their losses across the board and spread them to everyone else.




So true. All the way through Kentucky to Missouri I saw dried up, mature corn fields. I must have driven 350 miles today, and I only saw one healthy corn field.
I wouldn't worry about that too much if they are tall, mature stalks as they die and dry out prior to harvesting.
Now, if the stalks are immature and/or have poorly developed ears, then yea, it's a problem.

Next time you see 'em like that, stop for a moment if you can and go over to the edge of the field and take a look at the ears and see what they look like.

Look at this pic of field corn being harvested. (http://img21.imageshack.us/img21/6529/cornharvest.jpg) Not a bit of green on any of them, but there's certainly something there to harvest.


From what I could tell the ears didn't seem to be there, or were very small.

One field looked like it was being turned into mulch already?

Maybe you're right they're ready to harvest & matured early...

Found a couple links leading to that info.

http://www.google.com/search?q=corn+harvest&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a#hl=en&client=firefox-a&rls=org.mozilla%3Aen-US%3Aofficial&tbs=nws%3A1&q=corn+maturity&aq=f&aqi=&aql=&oq=&gs_rfai=&pbx=1&fp=34dd19c111da6c54

[7th trump]

There wouldnt be any confusion of sweet corn from field corn would there?
Sweet corn if its grown for the seeds for next years crop is anywhere from 5 to 6 feet tall with small ears as it dry's.
Field corn can be as tall as 8 or 9 feet with huge ears.
We grow a few rows of sweet corn along with the field corn and what a huge difference.

[sirgonzo420]

There wouldnt be any confusion of sweet corn from field corn would there?
Sweet corn if its grown for the seeds for next years crop is anywhere from 5 to 6 feet tall with small ears as it dry's.
Field corn can be as tall as 8 or 9 feet with huge ears.
We grow a few rows of sweet corn along with the field corn and what a huge difference.


Good to see ya back!

[Horn]

There wouldnt be any confusion of sweet corn from field corn would there?
Sweet corn if its grown for the seeds for next years crop is anywhere from 5 to 6 feet tall with small ears as it dry's.
Field corn can be as tall as 8 or 9 feet with huge ears.
We grow a few rows of sweet corn along with the field corn and what a huge difference.


Looks like a bunch of the crop is pre-mature, thought something looked weird to me for just the end of August.

http://cornandsoybeandigest.com/richardbrock/yield-concerns-support-corn-market-0831/



Disappointing yields in some early harvested cornfields and the crop’s rapid move toward maturity across the Corn Belt continue to fuel concerns the U.S. production will fall short of expectations at a time when demand is very strong.

Although USDA’s weekly crop update rated U.S. corn conditions 70% good/excellent, unchanged from a week earlier and one percentage point above a year earlier, fast crop maturation is thought to be cutting grain fill short and hurting yields.

USDA reported 73% of the U.S. corn crop had already dented by Sunday, up from just 30% a year ago and the five-year average of 55%, while some 17% of the crop had already reached maturity against only 5% last year and the average pace of 11%.

With the U.S. corn supply-to-usage ratio already projected to be the tightest since 2003-2004 at 9.7%, the corn market is highly sensitive to signs supplies may not be as large as USDA projected earlier this month.

Early yield results have been highly variable, but there have generally been more bad reports than good ones.

Supply concerns may keep the corn market well supported ahead of the release of the next USDA Crop Report on Sept. 10 and we could see a fairly strong counter-seasonal rally if yields continue to run low as harvest moves north into the central Corn Belt.

Some decrease in the U.S. corn yield from USDA’s current estimate of 165 bu./acre has likely already been factored into corn futures prices. It’s hard to say whether a 1-bu. decline in the yield would push prices any higher at this point.

If the corn yield winds up 2-3 bu./acre lower, though, the futures market likely has some further upside as the market seeks to slow demand and ration supplies.

A 3-bu. drop in the U.S. corn yield would drop the U.S. corn stocks-to-usage ratio below 8%, not assuming any changes in USDA’s demand estimates. Supplies have not been that tight relative to demand since 1995-1996.