Zetas right again! ZetaTalk on Crop Failures: http://www.zetatalk.com/poleshft/p09.htm
And if anyone still foolishly believes they do not need to prepare to feed themselves because the U.S. government will release stockpiled grains or other food, please think again: Those stocks are long gone!
ZetaTalk dated February 17, 2007: N Korea has recently stuck a deal with the US, the deal they wanted in the first place - food. They have been starving for many years, and as we stated some time ago, only played the nuclear card to get the attention of the US, considered a bread basket and rich uncle. Bush ignored them, forcing N Korea onto Asian countries who often have starvation problems themselves, such as China. Bush came to the table with food deals, because they were desperate for some kind of recognition, a boost in the polls. This is taking food from the American people that will be sorely needed in future, but this has never bothered Bush or Condi. (Emphasis added.) http://www.zetatalk.com/index/zeta357.htm
Grain prices surge as inventories fall further
March 31 2011
Corn and soyabean prices surged on Thursday after the US government said inventories were even lower than earlier believed, suggesting that supplies will fall to critically low levels before the northern hemisphere harvest.
The declines in grain and oilseed stocks suggest that demand – from livestock farmers in developed and emerging markets, and from the ethanol industry for corn – has not yet been tempered by surging prices over recent months.
Corn prices have gained nearly 52 per cent and soyabeans 34 per cent since the beginning of 2010 on strong demand for animal feed, especiall from China.
Higher prices have prompted farmers in the US, the world’s largest exporter of agricultural commodities, to plan to increase planting. But the increase probably would not be enough to rebuild stocks to comfortable levels, analysts said.
The US Department of Agriculture said 6.52bn bushels of corn were stored in farmers’ bins and traders’ grain elevators at March 1, 15 per cent less than last year and some 170m bushels less than market expectations. Soyabean stocks fell to 1.25bn bushels, 2 per cent less than last year and lower than expected.
The agriculture department had already expected corn stocks to fall to the lowest levels in more than a decade before this year’s harvest. Thursday’s reports suggested these leftover supplies will drop further, pushing prices higher.
CBOT May corn futures rose by the daily trading limit of 30 cents to $6.93¼ a bushel. Corn prices set an all-time high of $7.65 a bushel in June 2008. CBOT May soyabeans gained 60 cents to $13.68½ a bushel, as trading resumed in the wake of the report’s release. Wheat prices also rose sharply.
Darrel Good, agricultural economist at the University of Illinois, said the data suggested that “we really have to slow consumption of corn over next five months. We have to slow consumption in an environment of record high livestock prices, an explosion of export sales of corn and very favourable ethanol production margins.”
High prices will prompt farmers to plant 5 per cent more land with corn this year than in 2010. At 92.2m acres (36.9m hectares), this would be the second-largest expanse of corn fields since the the second world war.
But corn’s gains will come at the expense of land for soyabeans, which will shrink 1 per cent to 76.6m acres, the USDA said.
The data suggest US farms, which provide the bulk of the world’s surplus supplies, may not be able fully to replenish scarce supplies this growing season. The more than 85,000 farmers surveyed by the USDA indicated they would plant a total of 253.9m acres in eight major crops, 8.6m acres more than last year but less than the 10m gain that the department’s models had forecast last month.
The USDA’s prospective plantings survey is not foolproof. For corn, changes between March survey results and final numbers after planting season have averaged 1.1m acres over the past two decades, as farmers respond to weather patterns and price moves. (Emphasis added.) http://www.ft.com/cms/s/0/952246a8-5ba3-11e0-b965-00144feab49a.html...