Archive for the ‘rising food prices’ Tag

20 Signs That A Horrific Global Food Crisis Is Coming

I am posting a re-post here. I would encourage you to do the same, because this information is worth spreading. I have acquired this list from M.D. Creekmore at The Survivalist Blog. Its original source is the Economic Collapse Blog.

  1. According to the World Bank, 44 million people around the globe have been pushed into extreme poverty since last June because of rising food prices. This was documented by The New York Times in February 2011.
  2.  The world is losing topsoil at an astounding rate.  In fact, according to Lester Brown in Foreign Policy, “one third of the world’s cropland is losing topsoil faster than new soil is forming through natural processes”.
  3. Due to U.S. ethanol subsidies, almost a third of all corn grown in the United States is now used for fuel.  This is putting a lot of stress on the price of corn.
  4. Due to a lack of water, some countries in the Middle East find themselves forced to almost totally rely on other nations for basic food staples.  For example, it is being projected that there will be no more wheat production in Saudi Arabia by the year 2012.
  5. Water tables all over the globe are being depleted at an alarming rate due to “overpumping”.  According to the World Bank, there are 130 million people in China and 175 million people in India that are being fed with grain with water that is being pumped out of aquifers faster than it can be replaced.  So what happens once all of that water is gone?
  6. In the United States, the systematic depletion of the Ogallala Aquifer could eventually turn “America’s Breadbasket” back into the “Dust Bowl.”
  7. Diseases such as UG99 Wheat Rust and Mad Soy Disease are wiping out increasingly large segments of the world food supply
  8. The tsunami and subsequent nuclear crisis in Japan have rendered vast agricultural areas in that nation unusable.  In fact, there are many that believe that eventually a significant portion of northern Japan will be considered to be uninhabitable.  Not only that, many are now convinced that the Japanese economy, the third largest economy in the world, is likely to totally collapse as a result of all this.
  9. The price of oil may be the biggest factor on this list.  The way that we produce our food is very heavily dependent on oil.  The way that we transport our food is very heavily dependent on oil.  When you have skyrocketing oil prices, our entire food production system becomes much more expensive.  If the price of oil continues to stay high, we are going to see much higher food prices and some forms of food production will no longer make economic sense at all.
  10. At some point the world could experience a very serious fertilizer shortage.  According to scientists with the Global Phosphorus Research Initiative, the world is not going to have enough phosphorous to meet agricultural demand in just 30 to 40 years.
  11. Food inflation is already devastating many economies around the globe.  For example, India is dealing with an annual food inflation rate of 18 percent.
  12. According to the United Nations, the global price of food reached a new all-time high in February.
  13. According to the World Bank, the global price of food has risen 36% over the past 12 months.
  14. The commodity price of wheat has approximately doubled since last summer.
  15. The commodity price of corn has also about doubled since last summer.
  16. The commodity price of soybeans is up about 50% since last June.
  17. The commodity price of orange juice has doubled since 2009.
  18. There are about 3 billion people around the globe that live on the equivalent of 2 dollars a day or less and the world was already on the verge of economic disaster before this year even began.
  19. 2011 has already been one of the craziest years since World War 2.  Revolutions have swept across the Middle East, the United States has gotten involved in the civil war in Libya, Europe is on the verge of a financial meltdown and the U.S. dollar is dying.  None of this is good news for global food production.
  20. There have been persistent rumors of shortages at some of the biggest suppliers of emergency food in the United States.  The following is an excerpt from a recent “special alert” posted on Raiders News Network:

Look around you. Read the headlines. See the largest factories of food, potassium iodide, and other emergency product manufacturers literally closing their online stores and putting up signs like those on Mountain House’s Official Website and Thyrosafe’s Factory Webpage that explain, due to overwhelming demand, they are shutting down sales for the time being and hope to reopen someday.

It is true that most American believe that they will never have to go hungry. They believe that their grocery store shelves will always be stocked with affordable food and they will never have to provide for themselves. People believe this because ignorance is bliss. Please, don’t be ignorant. As always, I encourage you to be smart and be prepared.

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Food Crisis in 2010 is Undeniable

 

I came across this article today, and frankly, I am surprised that it has taken me a whole 4 months since its publication to share it with others: 2010 Food Crisis Means Financial Armageddon.

Follow the link above. Go one, read the article. And as you do, I will resist the extreme urge to say, “I told you so.”

You see, this article does a great job of pointing out what is overwhelmingly true: a food crisis in the very near future is UNDENIABLE. We’re not talking about something that could happen, just maybe, if conditions worsen. The fact of the matter is that conditions HAVE worsened and the time when you will need a sustainable means of feeding yourself and your family is here. It is now.

Here is one point that I think Mr. deCarbonnel does an exceptionally good job of explaining in his article:

  1. The USDA is concerned with how supply and demand looks on paper. Therefore, they price crops lower than what they should be, based on demand.
  2. Crop staples such as wheat, corn, and soybeans are harvested only once or twice a year. A desperate need for food does not allow them to be harvested more frequently. Food must be priced correctly to prevent overconsumption, and to in turn allow each crop to last until the next harvest.
  3. Because the USDA does not appropriately price these crop staples and others, we buy large amounts of crops for a low price. When we need to buy more before the next crop is harvested, what happens? There is nothing to buy. Incorrectly priced agricultural commodities leads to overconsumption and a depletion of commodities. 

Now, put this information together with the fact that nationwide bad weather coupled with global natural disasters have literally ruined crops all over the world. Stocked grocery store shelves aren’t really looking like such a sure bet, are they? I am sure Mr. deCarbonnel would agree, if you’re going to bet on anything, bet that you need to begin relying on your own sustainable food source.

Once you’ve read this whole article, I would imagine you may start to feel a little bit panicked. Don’t panic! But DO call yourself to action. Think above and beyond our society’s warped underestimate of risk. Be proactive, be prepared, and don’t delay.

How the Earthquake in Chile Affects our Food Supply

AP Photo/ Fernando Vergara

If you shop in grocery stores or eat out in restaurants, then you will be directly affected by the recent 8.8 scale earthquake in Chile.

How so? Well, there is a pretty decent amount of goods that America imports from Chile. In fact, in the year 2006, Chile exported about $9.6 billion dollars worth of goods to the United States. Yes, that is $9.6 BILLION. The United States is Chile’s biggest export market.

The major export from Chile is actually copper. This accounted for a good $4.1 billion of the exports in 2006. The second biggest export from Chile to the United States in 2006 was fruit and prepared fruit products, such as frozen juice concentrate. Our grocery stores also get a large amount of their wine, seafood, blueberries, grapes, apples, pears, plums and other stone fruits from Chile.

So then what does all of this mean to you, the consumer? Well, you may not be able to find these exports in American grocery stores and restaurants. Or, you may be able to find them, but it will be at a very high cost to you.

You’ll notice that in many news articles, such as this recent one from Daily Finance, that the Chilean Exporters Association is urging American consumers “not to panic.” This is where I choose to disagree. I say, maybe this IS the time to panic.

Let this be an eye opener. If the food supply in America has been changed by a natural disaster that occured about 300,000 miles away, maybe it is time for us to take a hint and realize that our society is entirely too reliant on imported foods. These suppliers are not infallible. We all need to take measures to be more self reliant. Our grocery store shelves are obviously not going to remain indefinitely stocked. The only way you can truly have a reliable food source is to not rely on grocery stores.