TREND: LESS FOOD, HIGHER PRICES

Europe’s farmers and food producers are warning that basic commodities, including many common fruits and vegetables, will be in short supply and prices could soar this winter as they press governments for help to cope with record high energy prices

The European Union’s (EU’s) farmers union and two major food producers already have begun to scale back production, they announced, and asked that their industry be exempted from looming energy rationing.

“The latest increases in energy prices, especially in natural gas and electricity, threaten the continuity of agri-food production cycles and, therefore, the ability to continue delivering essential agricultural commodities, food products, and feed materials,” the three groups said in a joint statement.

Already this year, the price of butter has jumped 80 percent, milk powder 50 percent, and beef 28 percent, EU data shows.

Many farmers are already reducing vegetable plantings for the next harvest, saying that the cost of operating their greenhouses in winter is more than the money they would collect from their produce.

“You will probably not see [greenhouse] tomatoes or cucumbers in the winter because it is not financially feasible,” Alexander Formsma, energy specialist at Glastuinbouw Nederland, an agricultural interest group, said to the Financial Times.

TREND FORECAST: The longer the Ukraine War lasts and the tighter the sanctions on Russia remain, the higher fuel costs will rise. Also, there are the wild cards, such as weather conditions, which no one can forecast. 

However, considering the wild card maniacs running and ruining nations across the globe, which includes Israel ramping up its attacks on Syria and Iran, should military conflict break out in the Middle East, oil prices will rise much higher. 

Also see “FERTILIZER CRISIS MAY SLASH WORLD FOOD OUTPUT BY 40 PERCENT, SAYS UN FOOD OFFICIAL” in the Trends-Eye View section of this issue.