Wednesday, July 25, 2007

Burritos Are Going To Cost More


Led by skyrocketing grain prices, The Economist's dollar food index has risen to its highest level for more than a decade:
Wheat prices are at an 11-year high, and as you can see, just about every grain is following suit.
“We won’t run out of food entirely,” explained Kevin Kerr in his presentation on “Peak Food” this morning, “but the grain markets are showing us that we’re going to have to change the way we think about eating and living in the society of the future.”
China is the true driving force behind the food crunch… a booming population, lack of arable land and modern farming methods/equipment has China scrambling to get its hands on any food it can get.
Look again at the chart and ask yourself: “What’s the story with coffee?”
“The coffee market is extremely underpriced right now,” remarked Kevin. “Look for coffee, cocca and sugar to climb.”

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