Archive for: April, 2008

Burning our Food leads to higher food prices

May 25, 2005 a senate panel votes, unanimously, to encourage ethanol production. The Panel was lead by Senator Jim Talent (r-Mo) in a response to higher gasoline prices. The oil industry opposed the plan clamming that the wide use of such a policy would lead to higher food prices.

Then that same year, 2005, Congress instructed the Environmental Protection agency to enforce the Renewable Standards Act. Which required at least 7.5 billion gallons of renewable fuels be added too and blended into our existing fossil fuel by the year 2012. And so starts the process that is giving us higher food prices today.

Now jump forward to 2008 looking at two staple we all need, back in Feb 2006 corn was $2.28 per bushel just a few months ago Feb 2008 the price per bushel rose to $5.46. This is almost double the cost in just 24 months. Wheat another staple food item was $3.48 per bushel in Feb 2006; now in Feb 2008 it is $11.21/bushel.

Why is the price of basic food elements climbing so fast? Because we are burning our food crops to fuel our cars, trucks and lawn mowers. So we cause a shift in the food paradigm. We create an entirely new use and market for crops that are scarce in the world today. Maybe the crops are not scarce today in America but large parts of the world are starving. People are dying every day because they do not have any food.


Then here in America, not only do we waist food, but now we burn our food crops for transportation. The rest of the world is watching and now trying to import more food crops. They just want to protect their own countries food supply. The result is again, more pressure on the food supply that results in higher prices. We are truly dumb americans.

We need to stop the push for ethanol as a renewable fuel before we all starve to death. I would rather have the option of not filling up my car at $9.00 a gallon for gasoline opposed to not being able to eat.

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