Redstate

Posted at 12:54am on May 6, 2008 J'accuse

By Pejman Yousefzadeh

In the event that we see a price hike in sugar and sugar-based products, I offer you an object of ire.

Mark Rep. Peterson well, electorally speaking. Both he and those who support his position owe you an explanation for their stance on sugar price supports. And if that explanation isn't good enough--and one suspects that it won't be--you can make sure that Rep. Peterson and his supporters will be collecting their paychecks from a source other than the United States Treasury come January 2009.

Posted in Economy | Food Prices | Market Distortion | Price Supports — Comments (2)/ Email this page » / Read More »

Posted at 4:45pm on Apr. 25, 2008 Biofuels And Food Price Inflation

By Pejman Yousefzadeh

This article makes a connection between the use of biofuels and the food price inflation that we have seen take hold in recent months. The last I heard, the biofuels market was down and products like ethanol were no longer as highly priced as they were before. But there can be little denying that a misplaced emphasis and reliance on biofuels has helped in no small way to bring the crisis about.

Currently, it would seem that simple demand is one of the chief catalysts of price inflation. The best response would be to lower price support compacts and to augment society's use of genetically modified foods in order to meet demand. We will see if there is a push for this, or whether policymakers will allow food price inflation to grow as a problem. In the meantime, it does behoove us to keep a cool head about things, even as we recognize that this is a serious issue.

Posted in Biofuels | Economy | Food Prices — Comments (4)/ Email this page » / Read More »

Posted at 11:42pm on Jan. 15, 2008 On Food Inflation

By Pejman Yousefzadeh

The points made here bear repeating. And who knew that I would find myself on the same side as Charles Schumer on so important and so contested a policy issue? Wonders never will cease, will they?

Posted at 7:31pm on Dec. 17, 2007 Nourishment Is Expensive These Days

By Pejman Yousefzadeh

Get ready. The price of food is skyrocketing:

Import tariffs for major agricultural commodities, in particular cereals, vegetable oils and rice, are being slashed in an effort by developed and developing countries to cushion their local markets against rising food inflation.

The move comes as food inflation, which hit countries over the summer, shows signs of resurgence, with cereal prices rising sharply, boosted by strong demand, in particular from China, and tumbling inventories.

Turkey is the latest country to announce a reduction in custom duties, having recently cut its import tariff for wheat from 130 per cent to 8 per cent, for corn from 130 per cent to 35 per cent and scrapped the previous 100 per cent duty for barley.

The European Union - the world's top importer of wheat and one of the largest buyers of soyabean and corn - has also announced that it will set zero import duties for cereals until next June.

See also this. It's nice to see that tariffs are being slashed. Of course, they should have been slashed long ago and now, there is a concern that tariff cuts won't keep up with the rate of inflation when it comes to food. Note as well a cause of food inflation that the article missed: The reliance on ethanol as an alternative source of energy, a policy shortcoming that I noted here almost one year ago.

Posted in Economy | Ethanol | Food Prices | Food Tariffs — Comments (5)/ Email this page » / Read More »