Be prepared to pay for products in supermarkets much more. In early February, the worst frost in 60 years of records destroyed the entire planting crops throughout the southwest United States and northern Mexico. It was reported that some U.S. supermarkets have doubled or even tripled the price of some goods. Yes, you read correctly. Prices for certain positions of vegetables in many American supermarkets have really grown in two or even three times. Oddities weather, that we are seeing this winter across the globe, play havoc with food prices. In January, food prices have broken all records, and most analysts are inclined to believe that food prices will continue to rise. Even before the terrible frost in the south-western United States and northern Mexico, world food prices are being pushed up the unprecedented floods in Australia and Brazil, and key agricultural regions of China are now experiencing the worst drought in 200 years. Food prices are expected to eventually return to a normal level, but it just shows you how much this can change, food prices, when there is a major disaster.
In one supermarket in Portland buyers were forced to pay twice or three times for some of the positions that resulted from the recent severe cold …
"We had to double and triple some prices and consumers when it saw it a couple of them shocked," says the manager of Food4Less Rusty Peak.
Another product manager told a local news station Portland, I never saw such that happening …
"Increase, increase, increase," says Troy Winterhalter, reading urgent messages sent to it on the computer. "Peppers, zucchini, cucumbers, asparagus, the entire asparagus crop was destroyed," he says.
One of the crops, which is particularly affected because of the recent cold, is corn. Mexican authorities estimate that we lost about four million tons. This represents 16 percent of Mexico's corn crop.
The prices of tortillas (tortilla made of corn flour, approx. Mixednews) grew even to the last frost, and now many officials are extremely concerned about where in the end those same prices will be.
In 2007, the price of tortillas has led to unrest throughout Mexico.
But we should worry not only about the tortilla.
The fact that corn prices are so important because it is used in literally thousands of different foods ….
This effect of corn for the food industry is different from any other agricultural products. At the most basic level, corn is the staple food for billions of people around the world and one of the key ingredients in dozens of products such as breakfast cereals, bakery products, bread, cakes, chips, soft drinks and even bourbon.
But that's not all — of corn is an important part of feed cattle, chickens and pigs.
Over the past six months, the cost of corn has doubled, and now this cold, will likely raise prices even higher.
Now, many experts expect the price of corn will break records throughout 2011.
In addition it can be said that careful attention should be paid another culture.
Are you willing to pay a lot more for the chocolate?
The cost of cocoa growing, and many analysts predict that the era of cheap chocolate is quickly coming to an end.
Now, usually somewhere between half and two-thirds of the world's global supply of cocoa comes from the Ivory Coast and Ghana. But the rapidly growing global demand, coupled with some serious problems of agriculture is concerned that the global cocoa market is currently in a state of constant transformation.
As explained in a recent article, Globe And Mail, cocoa futures reached last month, a 30-year high, and growing concern that in the coming years we will be faced with a serious shortage of chocolate …
And the Ivory Coast and neighboring Ghana are on the way environmental disaster. The trees are old and sick crops, the soil is depleted, the temperature is rising, and rainfall are not regular. Young farmers are not interested in the cultivation of cocoa, which is associated with poverty, and they throw everything and move to find paid less, but more predictable operation in the city. Those who remain in rural areas are struggling in trying to meet the demand, and they have little left to invest in the restoration of their farms.
Another factor that will have an impact on rising prices, will be gasoline. Almost all of our food has to be transported over long distances, and each time the price of gasoline will rise, it will have inflationary pressure on the cost of food.
Most Americans still blindly believe that our economy is back to normal as soon as possible, but the harsh truth is that the world has changed. Age of cheap and abundant food that we are experiencing is coming to an end.
In the coming years will be reduced food supplies, and food will become more expensive.
Do not let the changing global food situation take you by surprise. Do stocks while the cost of food is still relatively low.