"THE world is only ten weeks away from running out of wheat supplies after stocks fell to their lowest levels for 50 years.
The crisis has pushed prices to an all-time high and could lead to further hikes in the price of bread, beer, biscuits and other basic foods."
http://business.timesonline.co.uk/tol/business/industry_sectors/natural_resources/article3423734.ece
AND
"Consumers usually reduce their purchases of goods and services if prices become too high. Buyers of United States corn, soybeans and wheat seem to be ignoring that economic principle, however, as the nation‘s grain stocks reach critically low levels, said Chris Hurt, a Purdue University agricultural economist. With global demand for grain and oilseeds at record levels and a weak U.S. dollar, foreign buyers are outbidding domestic buyers for American grain. While the higher commodity prices are good for crop agriculture there are disconcerting downsides, Hurt said. "Food consumers worldwide are going to have to pay more," Hurt said. "We ended 2007 with our monthly inflation rate on food nearly 5 percent higher. I think we‘ll see times in 2008 where the food inflation rate might be as much as 6 percent. "I also think we‘ll have discussions about food security in 2008. We‘ll have discussions about whether we should allow the foreign sector to buy our food. Is food a strategic item that we need to keep in our country?""
"Wheat prices have been near $10 a bushel, more than $6 a bushel higher. Cash prices for soybeans are about $13 a bushel, up more than $7 a bushel. Corn is pricing at near $5 a bushel, an increase of greater than $3 a bushel."
http://www.hoosieragtoday.com/wire/news/00392_World-Grain-Demand-Straining-U_S_-Supply_171358.php
AND then BBC has it's say.
"The price of higher-quality spring wheat jumped almost 25% on Monday - the biggest one-day increase to date.
The rise comes as the UN's World Food Programme warns that it will have to start cutting rations or feeding fewer people if it does not get more money to cope with the higher cost of food.
Wheat is used to make staple foods such as bread, pasta and noodles."
http://news.bbc.co.uk/1/hi/business/7264653.stm#subject
Feed The World? We Are Fighting a Losing Battle, UN Admits
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