Grain companies making incredible profits
Wednesday, April 30th, 2008On the front page of the Wall Street Journal this morning, “grain companies prices soar as global food crisis mounts.” Farmers are making incredible profits since many grains and vegetables are in high demand. “The crisis stems from a combination of heightened demand for food from fast-growing developing countries like China and India, low grain stockpiles caused by bad weather, rising fuel prices and the increasing amount of land used to grow crops for ethanol and other biofuels rather than food.” Grain companies have responded by saying they will put the extra money towards technology development that will increase productivity.
NBC’s Today Show kicked off its annual “Where in the world is Matt Lauer?” segment this week, and Lauer started off in the majestic city of Buenos Aires. The
farmers are taking their land out of the government’s Conservation Reserve Program, and farming that land to cash in on the agricultural boom. “Environmental and hunting groups are warning that years of progress could soon be lost, particularly with the native prairie in the Upper Midwest. But a broad coalition of baking, poultry, snack food, ethanol and livestock groups say bigger harvests are a more important priority than habitats for waterfowl and other wildlife.” According to the article, as many acres as “are in Rhode Island and Delaware combined” were converted from conserved to cultivated land last fall alone.