21 ago. 2012

Corn : +40% in less than 3 months ; Agflation to drive Inflation ahead ?

Some factor impacting the price of food commodities :
  • Heat waves ad a changing climate are decimating crops
  • More biofuel means less food
  • Specualtors drive up prices of agricultural commodities
  • New consumptiom patterns exacerbate scarcity
    • Emerging economies (China leading) have a bigger middle class
  • Increased population
There is a real risk that may start a new cycle of inflation starting with an Agflation ( agricultural driven inflation).
Graphs from : Der Spiegel.