Thursday, April 28, 2022

Food Price Inflation

Food price inflation is being driven by factors outside our control. Almost. One factor is misgovernance by a Texas Republican Governor.

The war in Ukraine is having a huge impact on the cost of food in the United States — particularly the price of corn. The Chicago Board of Trade corn futures topped $8 a bushel earlier this week, reaching its highest price in nearly a decade.

The worst avian flu outbreak in the United States since 2015 is causing a major spike in the price of chicken and turkey and an even more noticeable surge in egg prices.

The federal government operates a system of dams, reservoirs and canals in California that the state relies on for agriculture and drinking water. Water agencies contract with the federal government for certain amounts of water each year. The federal government fulfills the contracts based on how much water is available. This year, as the state’s megadrought drags into its third year, the government said it had no water to give farmers.

Produce coming from Mexico, stalled at the border for days, has gotten more expensive at a time of year when the United States still relies heavily on imports.

https://www.washingtonpost.com/business/2022/04/21/food-prices-inflation-surge/

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