FOOD PRICES: WHEN ARE THEY TOO HIGH?
We all know that food prices are rising. How high the prices will go is anyone’s guess. I wanted to take a look at what is going on with food prices and to what extent they might affect us here in the good old USA. What I will share with you is quite stunning. It’s a frightful thought to imagine that protests and riots in Tunesia, Egypt and other countries could happen here in our own backyard. I’ll lay all the information on the table and you decide what the future holds.
In November 2008, predictions were made by Gerald Celente, the CEO of Trends Research Institute. He is renowned for his accuracy in predicting future world and economic events, which will send a chill down your spine considering what he told Fox News.
Celente says that by 2012 America will become an undeveloped nation, that there will be a revolution marked by food riots, squatter rebellions, tax revolts and job marches, and that holidays will be more about obtaining food, not gifts.
In a separate recent interview, Celente went further on the subject of revolution in America.
“There will be a revolution in this country,” he said. “It’s not going to come yet, but it’s going to come down the line and we’re going to see a third party and this was the catalyst for it: the takeover of Washington, D. C., in broad daylight by Wall Street in this bloodless coup. And it will happen as conditions continue to worsen.”
“The first thing to do is organize with tax revolts. That’s going to be the big one because people can’t afford to pay more school tax, property tax, any kind of tax. You’re going to start seeing those kinds of protests start to develop.” This has occurred already with the TEA Parties all over the nation.
“It’s going to be very bleak. Very sad. And there is going to be a lot of homeless, the likes of which we have never seen before. Tent cities are already sprouting up around the country and we’re going to see many more.” Homelessness is on the rise as I write this. People are getting forclosed out of their homes at an alarming rate. This is tragic for many Americans.
“We’re going to start seeing huge areas of vacant real estate and squatters living in them as well. It’s going to be a picture the likes of which Americans are not going to be used to. It’s going to come as a shock and with it, there’s going to be a lot of crime. And the crime is going to be a lot worse than it was before because in the last 1929 Depression, people’s minds weren’t wrecked on all these modern drugs – over-the-counter drugs, or crystal meth or whatever it might be. So, you have a huge underclass of very desperate people with their minds chemically blown beyond anybody’s comprehension.” I can’t argue with his thinking here. Many parts of our inner cities are war zones.
The George Washington blog has compiled a list of quotes attesting to Celente’s accuracy as a trend forecaster.
Two years later in 2010, The National Inflation Association is warning of a food crisis in America as soon as next year and possible “societal collapse” as a result of the Federal Reserve’s new quantitative easing program that threatens to eviscerate the buying power of the greenback.So far in 2010, the following farm commodities have already skyrocketed at an unprecedented pace.
– Wheat is up 84 per cent.
– Corn is up 63 per cent.
– Sugar is up 55 per cent.
– Soybeans are up 24 per cent.
So the biggest question is, just how high can they go? Could we see prices like this:-
– A standard 24 oz loaf of bread will cost over $23 dollars.
– A 32oz package of granulated sugar will cost over $62 dollars.
– A 11.30 oz container of roast coffee will set you back over $77 dollars
– A 64 fl oz container of Minute Maid Orange Juice will cost more than $45 dollars.
– A Hershey’s Milk Chocolate 1.55 oz candy bar will cost over 15 dollars.
– A plain white men’s cotton t-shirt will cost $55.57
The devaluing dollar may not be the only cause for the rising prices in food. The U.K. Telegraph reports that various countries in Asia, the Middle East, and North Africa, are buying up rice, wheat, and other grains by the hundreds of thousands of tons. In some cases, they are buying enough to last up to a year. These efforts, which presumably are to offset the disruption caused by major shortages, are actually creating shortages of their own, however. They are also further driving up prices. According to some experts in the industry, the wave of panic buying has only begun. Once one country takes the first move in initiating panic buying, many others follow suit, which makes the situation perpetually worse.
Algeria has already purchased 800,000 tons of wheat, while Saudi Arabia has stockpiled 12 months worth of wheat. Bangladesh has reportedly tripled its rice imports, and Indonesia has purchased 820,000 tons of Thai rice. Ironically, all this buying activity is creating even worse shortages that will raise prices for other countries who import these commodities.
Then there is the problem of actual food shortages. Changing weather patterns, unseasonable warm and cold spells, droughts, floods, and other erratic climate conditions in various growing regions have destroyed many crops and significantly reduced yields over the years.
On Februaury 7th, 2011, this was reported: If revised Chinese import estimates by the US Grain Council are even remotely correct, look for corn prices of $6.80 a bushel at last check to jump by at least 15% in a very short amount of time. As the FT reports, “Corn prices – and with them, the price of meat – are set to explode if the latest import estimates from China are correct. The US Grain Council, the industry body, said late on Thursday that it has received information pointing to Chinese imports as high as 9m tonnes in 2011-12, up from 1.3m in 2010-11.” Some companies in China have actually been mass producing “fake rice” that is made partly of plastic. According to one Chinese Restaurant Association official, eating three bowls of this fake rice is the equivalent of consuming an entire plastic bag.
Growing corn to make fuel for cars isn’t sounding so smart anymore. As you can see, there is alot going on in our world. The Lame Stream Media is dropping the ball on this. In my opinion, people should be stocking up slowly, filling their freezers and cupboards. This kind of prudence could stave off major probems for many people down the road. The best part, if nothing happens, your food bill will be lower for a long time as you slowly deplete your foodstocks.
Vigilence can go along way!
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