Tuesday, Dec 01st

Last update10:20:08 PM GMT

You are here News Environment World on track for record food prices 'within a year' due to US drought

World on track for record food prices 'within a year' due to US drought

E-mail Print PDF

Food prices to riseBrace yourself for some painful "agflation". That is the shorthand for agricultural commodity inflation, otherwise known as rising food prices.

They are being driven upwards by the climb in grain and oilseed prices as US crops weather the country's worst drought since 1936, while the farming belts of Russia and South America suffer through similar water shortages.

What we are seeing represents the third major rally in global grain and oilseed prices in just half a decade.

Worse is to come, new research warns. World food prices look set to hit an all-time high in the first quarter of next year – and then keep rising, according to the analysis from Rabobank, a specialist in agricultural commodities.

By June 2013, the basket of food prices tracked by the United Nations could climb 15pc from current levels, according to the bank's analysts.

"The coming year will see the world economy re-enter a period of agflation as grain and oilseed stocks decline to critically low levels, pushing the FAO [Food and Agricultural Organisation] Food Price Index above record nominal highs set in February 2011," they say.


Most Recent Related Stories...

Unearthing America's Deep Network of Climate Change Deniers

Climate change deniersThe American public has turned away from outright denial of climate change. Sixty-three percent of adults...

Paris protesters clash with police ahead of UN climate talks

Paaris Climate protesters clash with policeAbout 100 people have been detained in Paris after a protest in advance of U.N. climate...

Splits over climate responsibility in spotlight at crucial Paris talks

Fact-basedPresident Obama, the leaders of China and Russia and around 150 other states are in Paris...

For their second act, Keystone killers tackle Exxon

Exxon a new target for Keystone environmentalistThe same rowdy band of green activists who toppled the Keystone XL pipeline are aiming their...
America's # 1 Enemy
Tee Shirt
& Help Support!
TVNL Tee Shirt
Conserve our Planet
& Help Support!
Get your 9/11 & Media
Deception Dollars
& Help Support!
The Loaded Deck
The First & the Best!
The Media & Bush Admin Exposed!