Photos
A "worst-in-a-generation" drought across half the United States could drive food prices to record levels as crops across half the country are ravaged, according to Bloomberg Businessweek.
"It might be a $50 billion event for the economy as it blends into everything over the next four quarters," Michael Swanson, agricultural economist at Wells Fargo & Co. in Minneapolis, the biggest commercial agriculture lender, told Bloomberg. "Instead of retreating from record highs, food prices will advance."
The U.S. Department of Agriculture declared July 11 that more than 1,000 counties in 26 states are natural-disaster areas - the biggest such declaration ever.
How will you cope with higher food prices? Tell us in the comments section below.
As much as 20 percent of the U.S. corn crop could be lost because of the worst drought in decades, experts say.
"Topsoil has dried out and crops, pastures and rangeland have deteriorated at a rate rarely seen in the last 18 years," the National Oceanic and Atmospheric Administration said in a report Monday.
Ron Beitler
1:21 pm on Thursday, July 19, 2012
Grow a vegetable garden and water it with a rain-barrel. A large enough system fed from your downspout can get your plants through pretty substantial drought periods so long you collect enough water.
Also local community supported agriculture is a great way to lock in your fresh organic vegetables all season at one subscription cost.
http://goodworkfarm.com/
93GEO-Metro
8:54 pm on Friday, July 20, 2012
Just another lame excuse to jack up prices even more. Just like gas, they say a possible storm in the Gulf and gas prices jump 20 cents in 2 days and are still on the rise.
gruntled
9:31 pm on Friday, July 20, 2012
You've obviously never learned anything about food production. We don't have a "possible" storm here; there is a for-real drought in over half the states.
Even around here, the corn crop sucks. Corn goes into all sorts of foodstuffs.
Walter
6:55 pm on Saturday, July 21, 2012
There won’t be a shortage. There will be plenty for all if the price is paid. This is why people feel they are just being ripped off.
I understand supply and demand. But, I also see that we are lead to believe there is a supply crisis when in fact there really isn’t. I’ve been able to buy as much gas and oil as I wanted. Even during those times when ‘production was way down’ or ‘other countries were demanding more’, if I had the cash to cover the increased cost, the product was there. I call that gouging.
I think we are headed for the same scenario with food. I won’t believe there is a shortage or a supply problem until the shelves are not stocked.