US food prices hit record
In the United States, the situation around Ukraine has led to a sharp rise in food prices which are now at a record level since the early 1980s, RIA Novosti reports
The Washington Post wrote that, this week, corn futures on the Chicago Mercantile Exchange reached $8 per bushel – becoming the largest figure in almost a decade. According to the publication, this situation is explained by several reasons.
In mid-April, US President Joe Biden promised to allow the sale of petrol with a high ethanol content by the summer. In his opinion, this move will help reduce prices at fuelling stations. Meanwhile, such a decision will have a negative impact on the environment and result in growing food prices.
As explained, corn – which is most often used to produce consumer goods and feed livestock – is needed to obtain ethanol. Given that fodder accounts for 60 percent of all costs related to cattle breeding, experts consider beef, pork, poultry and some types of fish will become more expensive. In addition, meat prices will grow due to rising prices for fertilisers; and this factor is related to the situation around Ukraine.
Bird flu, drought in California and traffic jams on the border with Mexico are viewed by The Washington Post as other factors of influence.
