HDRKID
Senior Member
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John Titor said that there was a civil war. That it was cities versus rural areas.
My question should have been - what cause food shortages in coming years?
Back in 2005 I predicted panic in our groceries. Shortages of food are coming.
Sadly, so are higher prices.
view on Expect Higher Prices at the Grocery Store - GIS, K, MDLZ - Foolish Blogging Network
The drought, perhaps the worst on record in over 50 years, has led to sky high crop insurance claims already approaching $11 billion, with the final total expected to reach near $25 billion.
So what’s the end result? The 25% decrease in available wheat crop could have a trickle-down effect on nearly every food company in the country. A basic supply and demand situation will occur, causing prices to increase across the board for products with a high content of wheat-based ingredients. Companies like Mondelez International (NASDAQ: MDLZ), the new umbrella corporation spun off by Kraft Foods to serve as parent to major snack brands like Oreo, Nabisco, Cadbury and Trident, will be forced to pay higher prices for supplies. Undoubtedly, that cost increase will be passed to consumers.
My question should have been - what cause food shortages in coming years?
Back in 2005 I predicted panic in our groceries. Shortages of food are coming.
Sadly, so are higher prices.
view on Expect Higher Prices at the Grocery Store - GIS, K, MDLZ - Foolish Blogging Network
The drought, perhaps the worst on record in over 50 years, has led to sky high crop insurance claims already approaching $11 billion, with the final total expected to reach near $25 billion.
So what’s the end result? The 25% decrease in available wheat crop could have a trickle-down effect on nearly every food company in the country. A basic supply and demand situation will occur, causing prices to increase across the board for products with a high content of wheat-based ingredients. Companies like Mondelez International (NASDAQ: MDLZ), the new umbrella corporation spun off by Kraft Foods to serve as parent to major snack brands like Oreo, Nabisco, Cadbury and Trident, will be forced to pay higher prices for supplies. Undoubtedly, that cost increase will be passed to consumers.