Rural round-up

March 13, 2019

Tax recommendations threaten future prosperity:

Federated Farmers is calling on the Government to reject the majority of the raft of new taxes proposed by the Tax Working Group.

“Small business would pay the costs, large business would spend thousands avoiding the costs and tax advisors and valuers would have a field day,” Federated Farmers Vice-President Andrew Hoggard says.

“There is possibly an argument for a Capital Gains Tax aimed at rental properties if there was some sound evidence it would dampen investor speculation, and reduce price pressure and first home buyers being out-bid. But even with that, we haven’t given the tougher ‘bright line’ test rules a chance to really kick in. . .

Despite rising prices farmers are feeling oppressed from all sides and confidence is low. FIckle urban voters are driving a flood of rules and imposing costs that make little sense to the business of farming – Guy Trafford:

The results of the January Federated Farmers farmer survey have recently been published and makes fairly sober reading – especially in the context that prices for most commodities are reasonably sound.

Only 5.1% of respondents expected economic conditions to improve and but nearly 46% expect economic conditions to worsen, this is the worse result since July 2009.

Given the recent rises in milk prices and solid returns coming for sheep and beef farmers this level of pessimism is somewhat surprising and perhaps is a reflection of where farmers heads are at rather than a measure of what the ‘true’ economic conditions are. . . 

Looking to Generation Z for the future of  food – Sarah Perriam:

The rural sector is rapidly changing.

Consumer demand and global trends means New Zealand farmers need to embrace innovation to be able to compete and thrive in this new and exciting environment.

The next generation is vital for success. . . 

Greenpeace billboard ruled misleading  :

Federated Farmers is pleased the Advertising Standards Authority has ruled that a Greenpeace billboard aimed at fertilizer companies and the dairy industry is misleading and takes advocacy a step too far.

“Federated Farmers believes everyone has the right to express strong views but as the ASA Complaints Board ruling underlines, over-simplification of issues and targeting of two farmer-owned companies is misleading and overly provocative,” Feds environment spokesperson Chris Allen says. . .

Zespri. Appoints Bruce Cameron as chairman – Luke Chivers:

While the kiwifruit industry is having its day in the sun it is not short of challenges. Luke Chivers spoke to new Zespri chairman Bruce Cameron about the future.

New Zespri chairman Bruce Cameron is taking over at a time of strong continuity and volume in kiwifruit exports.

He replaces Te Puna grower Peter McBride who has stood down to pursue other primary industry interests, including a Fonterra directorship. . .

Butter prices go into meltdown :

Butter prices fell 10 percent in February 2019 to a 19-month low, Stats NZ said today.

The average price for a 500g block of butter fell to $5.20 in February 2019, down from a record high of $5.79 in January 2019.

“In January we saw milk prices fall to a 19-month low. This price fall now looks to be flowing on to other dairy products,” consumer prices manager Gael Price said. . . 


Rural round-up

January 27, 2016

NIA shows duty cuts to major export destinations – Neal Wallace:

Annual duty savings of $272 million will be removed on exports to five signatories to the Trans Pacific Partnership with which New Zealand does not have trade agreements, the Government revealed today.  

Trade Minister Todd McClay released the national interest analysis (NIA) on the 12-country agreement which largely confirmed trade benefits it had announced earlier.  

The NIA revealed exporters paid duty of $334 million a year on exports to five countries with which NZ does not have free trade agreements, the United States, Japan, Canada, Mexico and Peru. . . 

Westland Lowers Pay-Out Predictions as Global Dairy Prices Predicted to Remain Low:

Westland Milk Products, New Zealand’s second biggest dairy co-operative, today announced a drop in its pay-out predictions for 2015-16, saying a forecast 15 to 25 percent reduction across all commodity products for the remainder of the season is the driving force behind the decision.

Chairman Matt O’Regan says the new predicted payout of $4.15 – $4.45 per kilogramme of milk solids (kgMS) (previously $4.90 to $5.30 per kgMS) will be grim news for Westland’s shareholders but, given the widely publicised state of the global dairy market, not unexpected. He says lower prices are expected to remain for this season and probably into the second half of 2016 – the beginning of the 2016-7 season. . . 

New Zealand’s future agri-leaders in running for trans-Tasman award:

• 2016 Zanda McDonald Award finalists announced

Two young New Zealand agri-business professionals have made it through to the finals for the 2016 Zanda McDonald Award.

Dean Rabbidge, a dairy, beef and sheep farmer from Wyndham, Southland, and Erica van Reenen, an agricultural and environmental consultant with AgFirst, based in Manawatu, have been selected as finalists alongside soil scientist, Wesley Lefroy, from Western Australia.

The three, who attended interviews in Brisbane late last year, will join the PPP ‘Capital Connections’ Conference in Wellington in March – where the award winner will be announced. . . 

Drought in South Island enters second year:

Widespread drought conditions in the South Island mean the medium-scale event classification will be extended until the end of June, Primary Industries Minister Nathan Guy has announced today.

“Extra funding of up to $150,000 will go to local Rural Support Trusts with $40,000 of this going to the North Canterbury Trust,” says Mr Guy. 

Speaking with farmers at a sheep and beef farm in Weka Pass, Hurunui, Mr Guy acknowledged this is the third time the classification has been extended.

“Marlborough, Canterbury and parts of Otago were originally classified as a medium-scale event on 12 February 2015 and have had very little rainfall for more than a year now. . . 

Drought resistant pasture being investigated:

Scientists have identified a type of plant that recovers quicker than others after drought and are taking the next steps to get it on to farmers’ paddocks.

But they say it could be eight to 10 years before it is available.

The Primary Growth Partnership – Transforming the Dairy Value Chain is funding the research into pasture resistance.

It comes at a crucial time with 2015 being the hottest on record and Marlborough, Canterbury and parts of Otago enduring their second season of drought. . . 

Industry Challenged by new forest technology:

Foresters face paradigm shift for logging steep slopes

The tables are being turned on foresters and logging contractors in British Columbia. Disruptive technology from New Zealand is set to create a whole new way of logging in B.C.’s forests. When meeting challenges to safely harvest NZ’s steep sloped forests, practicing foresters found convincing safety advantages with the new harvesting technology.

In recent years, loggers in New Zealand’s forest industry faced safety challenges in tree falling, especially on steep slopes. There was no choice but to reduce accidents. Up and down the steep, forested country, people turned to the safety of mechanised harvesters. Simultaneously, safety and productivity improved. . . 

Intensifying workplace laws means there are no longer any ‘family farms’ and they can’t be an extension of a backyard playground – John Brosnan:

It’s a new year on farm.

You have negotiated the Christmas and the New Year breaks with the team, so now is a good time to take a breath and consider – what next?

Well first out the gate will be the new WorkSafe legislation which comes into force 1st April this year. Are you prepared for this? Have you prepared an operational plan and put in place a robust health and safety policy? Do you and all your employees have a means to adhere to it? . . 

Canterbury dairy farm penalised for employment law breaches:

The Employment Relations Authority (ERA) has ordered Viewbank Dairy Ltd near Rakaia to rectify employment law breaches discovered by Ministry of Business, Innovation and Employment’s Labour Inspectorate and pay $7,500 in penalties.

The Ministry of Business, Innovation and Employment’s Labour Inspectorate visited the farm as part of an audit to check for compliance with minimum employment standards on dairy farms. A number of breaches were identified and an Improvement Notice was issued. The Inspector brought the case before the ERA when the employer failed to comply with parts of the Notice.

Labour Inspectorate Southern Regional Manager Stuart Lumsden says the investigation found that several workers had been treated as casual employees when in fact they were permanent. . . 

Take advantage of steady nutrient costs:

The Fertiliser Quality Council (FQC) says current stability around fertiliser prices will give farm budgets an early boost for 2016 – but only if farmers are quick to seize the opportunity.

The two main fertiliser manufacturers, Ballance and Ravensdown, have kept costs for major nutrients under control since September 2015 – despite economic volatility caused by last year’s slide in the value of the New Zealand dollar.

The FQC says there’s no knowing for how long the good deals will continue and urges farmers to take advantage of the co-ops’ goodwill while it lasts. . . 

Karaka Select Sale Commences Today:

The first day of the Karaka Select Sale commences today at 11am with Lot 448 to Lot 670 going under the hammer.

The Sale will be streamed live online. To view the live stream, click here.

There have been 27 Group 1 wins from graduates of the Select Sale over the past three seasons. The new season has seen Mongolian Khan (Holy Roman Emperor) and Tarzino (NZ) (Tavistock) both land Group 1 races during the Melbourne Spring Carnival. . . 


Rural round-up

November 11, 2013

Treatment for mastitis could boost dairy profit – Sally Rae:

A mastitis product, developed through the nationally collaborative Mastitis Research Centre, involving researchers at the University of Otago, could result in significant savings to New Zealand’s dairy industry.

Mastitis, which is inflammation of the udder, is a major financial burden to the dairy industry, both in New Zealand and globally.

X-imm24 has been developed by the Mastitis Research Centre which involves expertise from Bayer Animal Health, the University of Otago, Massey University and the University of Auckland. . .

Organic Texel wool on display at A&P show – Sally Rae:

Southland sheep and beef farmers Grant and Alison Kingsbury have no regrets about switching to organic farming.

Mr and Mrs Kingsbury, who farm near Mataura, are displaying some of their Texel wool at this week’s Canterbury A&P Show in Christchurch.

It is the first time organically grown and scoured wool has been on display at the show, as part of the Wool Advancement Group’s (WAG) stand. . .

Low expectations of Bali summit – Nigel Stirling:

Farming leaders say a small package of half-measures and trade-offs is the best that can be expected from a summit that is hoped to keep alive talks vital to freeing up international trade in agricultural products.

Trade ministers from the 159 countries of the World Trade Organisation, including New Zealand’s Tim Groser, will meet in Bali early next month for what is being billed as a last chance for the Doha round of trade talks.

Named after the Qatari capital where it started in 2001, the Doha round of global trade talks was set up to tackle unfinished business from the Uruguay round, which left in place many barriers to trade in manufacturing and agricultural products. . .

Ballance re-jig reflects farming changes – Tim Fulton:

Ballance overhauled its customer and extension team partly in response to the more multi-layered nature of corporate farming, the company says.

One of the more noticeable changes at the company since July has been the disappearance of Altum, once known as Summit Quinphos, after Ballance took outright ownership.

But that was just part of an internal re-fit for the sales and extension staff.

Ballance general manager of sales Andrew Reid said the Altum integration produced some superficial changes, like changes to business cards, but was also part of a broader goal to give farmers and merchants better access to products and services. . .

Focus on Fonterra risk assessment – Hugh Stringleman:

Three board members of Fonterra’s audit, finance and risk committee (AFRC) are up for re-election this year.

Some shareholders have suggested coincidence puts the spotlight on the risk assessment performance and policies of the board following the recent botulism scare.

Farmer-directors Malcolm Bailey and Ian Farrelly are standing for re-election by shareholders and AFRC committee chairman David Jackson, an independent director, is seeking appointment approval at the annual meeting. . . .

Workshops foster irrigation skills:

IrrigationNZ is aiming to improve the skills of people at the forefront of the irrigation industry with a series of irrigation manager workshops in Central and North Otago this month.

The workshops, in Omakau on November 18, Cromwell on November 19 and Oamaru on November 20, would outline core knowledge needed for ”high performing” irrigation, chief executive Andrew Curtis said. . .


Rural round-up

February 27, 2013

Future foods – Robert Hickson:

Will farm livestock become endangered species? Social, economic and environmental drivers are converging to not only look at producing food more efficiently and sustainably, but are also stimulating new ways to produce meat or remove the need for it altogether. Such changes, if successful, could have substantial effects on New Zealand’s agricultural and economic landscapes.

Lab-grown meat has been worked on for a while, and convergence with other technologies is starting. Modern Meadow  is aiming to print meat. In vitro production of meat still has a long way to go, technically, economically and socially. There is scepticism that it will become economically viable and sufficiently scaleable. Or even appeal to consumers. But would it really be that different from currently available mechanically extracted meat products , insects or some of the delights whipped up by molecular gastronomists? . . .

St John says thanks to Federated Farmers:

A $54,000 grant to St John from Federated Farmers will help the organisation continue its important community work.

Federated Farmers made several grants from their Adverse Events Trust in September 2012, and St John was one of the recipients. The money came from individual farmers, meat company workers and meant and wool companies.

Federated Farmers’ representatives Katie Milne (National Board Member) and John Hartnell (Chairman of the Bee Industry Group) visited the St John Regional Operations Centre to see the work of the ambulance communications centre, as well as have a look at a new ambulance. . .

Fonterra Milk for Schools attracts interest from more than half of NZ’s Primary Schools:

Contacting Fonterra has been on the to-do list for many New Zealand primary schools since the 2013 school year kicked off – and more than half of the country’s eligible schools have now expressed interest in Fonterra Milk for Schools.
 
More than 1100 schools, representing about 191,000 kids, have registered their interest in the nationwide programme which will provide free milk to primary-aged children every school day. This is on top of the more than 110 schools already participating in Northland.
 
Fonterra Group General Manager Global Co-operative Social Responsibility Carly Robinson says the number of schools getting in contact has been growing by the day. . .

Dairy expo braodens view of the industry – Sally Rae:

Question – what’s black and white and red all over? Not necessarily a newspaper.

It could be a cow hide tanned by Southland man Adam Cowie, who established his own business about three years ago after working in a tannery for many years.

Mr Cowie, from Animal Skin Tanning Services Ltd, had skins for sale at the Southern Region Dairy Expo at Clydevale last week.

The event, organised by the Clutha Valley Lions Club, attracted a wide variety of exhibitors, selling everything from tractors and trailers to fertiliser and milking systems, pumps and stockfeed. . .

Cultivar information aids autumn pasture decisions:

DairyNZ is encouraging farmers to use the latest Forage Value Index lists to help make decisions on perennial ryegrass cultivars.

The DairyNZ Forage Value Index (FVI) was launched last May as an initiative between DairyNZ and the New Zealand Plant Breeding and Research Association (NZPBRA). The region-specific FVIs utilise seasonal dry matter yields from NZPBRA’s National Forage Variety Trials.

DairyNZ’s Dr Jeremy Bryant says the latest set of FVI lists were released in December. . .

Kirsten Bryant re-elected to Beef + Lamb New Zealand Board:

Kirsten Bryant has been returned as the Western North Island Farmer Director on the Board of Beef + Lamb New Zealand.

The Beef + Lamb New Zealand Returning Officer, Warwick Lampp has reported that Kirsten Bryant received 11,503 votes and John McCarthy received 6,149 votes. . .

First 2013 Dairy Awards Winners:

In less than a week the first regional winners in the 2013 New Zealand Dairy Industry Awards will be announced, opening new opportunities and career prospects.

National convenor Chris Keeping says it is an exciting time when the winners of the 12 regional competitions become known and a new group of passionate and enthusiastic dairy farmers step forward.

“We had more than 550 entries this year, so our judges are working extremely hard to identify those sharemilkers, equity farmers, farm managers, contract milkers and trainees doing the best with the resources and farm they have available to them. The awards are not about being perfect, they are about making progress.” . . .

Dairy farmers have cost effective “friend in N”:

With high demand in dry areas edging up the price of supplementary feed, dairy farmers wanting to maintain production into late autumn have got an increasingly cost effective “friend in N”, says Ballance Science Extension Manager Aaron Stafford.

“As a feed source home grown pasture remains your best bang for buck and with supplementary feed prices now averaging $50 a tonne more, farms that are not battling the dry conditions will find N an even more competitive tool for extending autumn lactation and maintaining herd condition.”

Aaron says products like SustaiN Green, which reduces ammonia volatilisation, offer farmers more flexibility to apply nitrogen when it’s needed most or when it suits them better, even if the weather or soil conditions often experienced during autumn are not optimal. . .


Reputation relies on trust

January 25, 2013

The announcement that traces of DCD have been found in milk is concerning but the way it has been handled is exemplary.

There is no food safety risk but the two fertiliser companies which use products with DCD have immediately suspended sales.

This media release from Ravensdown explains the issue:

Ravensdown announces today that, with immediate effect, it is suspending the sales and application of its eco-n product which contains DCD.

“The reputation of New Zealand as a quality food producer is as important to us as it is to our farmer owners. So it is reassuring that both the MPI’s and our own peer-reviewed research shows there are no food safety issues with DCD or eco-n,” comments Greg Campbell Ravensdown Chief Executive. “What’s changed is that last year, organisations like the US Food and Drug Administration added DCD to a list of substances to test for. This, combined with increasingly sophisticated scanning technology now presents a possible trade risk. Given the risk to NZ’s dairy export reputation, Ravensdown has taken the initiative and is suspending the single product which uses DCD for this calendar year.”

“As DCD has been used safely around the world for 30 years, there has never been a set of international standards around maximum residue level in food products. Because no standard exists for DCD, no detectable presence is acceptable. And because zero detection of DCD cannot be guaranteed, Ravensdown has taken the responsible, voluntary step to suspend its use while the trade issues are resolved,” added Greg.

In December last year, the Ministry for Primary Industries initiated a working party to assess the use of dicyandiamide (DCD) on farm land. The working group comprises representatives from MPI, Fonterra, the Dairy Companies Association of New Zealand and fertiliser companies Ravensdown and Ballance.

The working group was set up after testing on whole milk powder detected the occasional presence of low levels of DCD coinciding with the times of the year that the product is applied.

DCD, which is applied to pasture in autumn, winter and spring, has been used to reduce nitrate leaching and greenhouse gas emissions in New Zealand for nearly a decade.

“Though this news is disappointing for the 500 customers who use eco-n, the potential risk demanded decisive and pre-emptive action ahead of the autumn application season,” said Ravensdown’s Greg Campbell.

Even without eco-n, Ravensdown continues to help farmers lift their production and lower their environmental footprint. The farmer-owned co-operative does this through whole-farm testing, nutrient management planning and advice plus precise fertiliser application.

“We continue to help farmers produce top quality food and do all we can to support New Zealand’s export story in a complex world of international trading partners and regulations. We’ll be foregoing sales of eco-n, which makes up about 1% of Ravensdown’s annual revenues, but we are a 100% farmer-owned co-operative concerned with the long-term future of the rural sector,” added Greg Campbell.

“In the long-term, mitigating nitrate leaching is vital for sustainable New Zealand farming. The effectiveness of nitrification inhibitors like DCD is well proven and helps farmers in the face of stricter requirements being imposed on them. So we’ll be looking to the Ministry for Primary Industries through the working party to initiate the potentially-lengthy process of seeking a new international standard to recognise DCD. This would then specify a level or maximum residue which New Zealand dairy exporters and producers could work below,” concluded Greg.

Ballance’s media release says more research is the key:

More research is the key to developing nitrification inhibitors which help farmers reduce environmental impacts while meeting potential international trade requirements, Ballance Agri-Nutrients Research and Development Manager Warwick Catto said today.

His comments follow the voluntary suspension of sales and application of the nitrification inhibitor dicyandiamide (DCD) on farmland in response to the detection of the occasional presence of low levels of DCD in dairy products. Both major fertiliser co-operatives have announced the suspension until further notice.

“We still have every confidence in the potential for nitrification inhibitors to play an important role in helping New Zealand farmers to operate within nutrient loss limits.

“While our nitrification inhibitor product DCn has been a small part of our portfolio we remain confident that continued research will result in the development of a nitrification inhibitor solution which delivers environmental benefits, meets international requirements and is supported by robust science.”

Mr Catto said Ballance had not sold DCn since July 2012 and had not promoted its use on pastures since late 2010. This means that only a handful of Ballance customers have recently used the product. As a precautionary measure Ballance will not reintroduce any DCD-based products to the market until the potential international trade issue of milk residues is mitigated.

Ballance ceased sales of DCn in early spring 2012 to review the product and its applications, and incorporated it into its $32 million research and development programme aimed at reducing nutrient and greenhouse gas losses through more efficient fertilisers and next generation nitrification inhibitors.

“This is in line with our science-based approach and emphasis on continual evolution of our product and service offerings to meet the needs of New Zealand farmers.

“Our research is partially funded by the Ministry for Primary Industries through their Primary Growth Partnership and our work on nitrification inhibitor developments will take into account potential international trade concerns regarding residues in milk products,” says Mr Catto.

Mr Catto says that Ballance strongly supports all moves to protect New Zealand’s reputation for quality food and believes that all products used in food production must be backed by sound science and ongoing research.

Fonterra backs the suspension:

“We have been assured by New Zealand’s regulatory authority – the Ministry for Primary Industries – that there is no food safety risk.  However, DCD residues in agricultural products may present a future trade issue,” said Managing Director Co-operative Affairs Todd Muller.

“Although DCD was a promising option for reducing nitrate leaching, it is critical that New Zealand’s trade reputation is preserved.  The voluntary suspension is the responsible approach in the absence of any internationally agreed standards for DCD residues in food,” said Mr Muller.

Fonterra will participate in a working group set up by the Ministry for Primary Industries to examine what the suspension means in terms of the future use of DCD in farming, including the impact on water quality requirements.

Not all countries have the strict regulatory and testing standards for food safety that New Zealand does.

Some countries that do test food might hide results that didn’t suit them.

The companies have acted correctly in promptly suspending sales of products with DCD.

It’s about trust.

New Zealand relies on our reputation for high standards of food safety and that reputation relies on trusting that everything possible is done to keep food safe and taking a precautionary approach, even as in this case, there is no risk to consumers.

Products with DCD, a nitrification inhibitor, have been applied with fetiliser to pasture and forage crops to target urine, dung and fertiliser emissions. They can improve water quality, reduce production of the greenhouse gas nitrous oxide and increase pasture growth.


Co-ops key to feeding world

October 16, 2012

Agricultural co-operatives are the focus of World Food Day 2012.

The success of agricultural co-operatives here supports the contention that they are the key to feeding the world.
One reason for their success is that suppliers are shareholders.
This gives them a much stronger position than farmers who supply companies they don’t own who are then far more likely to be squeezed by processors and retailers.
Contrast returns to dairy farmers here, most of whom supply to co-operatives in which they own shares, with those in Australia where farmers have been the losers in supermarket wars which drove down the price of milk.
Farmers here don’t just benefit from being part of co-operatives which process their produce. Ballance and Ravensdown which between them supply most of our fertiliser are co-operatives and so is the specialist agribusiness bank, Rabobank.

Rural round-up

July 5, 2011

Young Farmer contest #5 Will Grayling – RivettingKate Taylor:

Photos make the world go around…. here’s a selection of photos of Will in action at the 2011 National Bank Young Farmer Contest in Masterton over the past week – Wednesday’s welcome at the Masterton Town Hall where Will’s likeness to Prince Harry was first mentioned; Thursday’s technical day at the historic Brancepeth homestead and the speech back at the Solway Copthorne; Friday’s practical challenges, head to head (s) and agrisports at the Solway Showgrounds and finally the evening show at the new Wairarapa College auditorium. . .

Politicos turn to the land – Sally Rae:

Everyone, it seems, is the farmer’s friend – after all, it is election year.

Act New Zealand leader Don Brash probably summed it up best at Federated Farmers national conference in Rotorua when he said those attending would be “enduring a procession of politicians”. . .

Fonterra to pour $250m into Darfield – Tim Cronshaw:

Dairy giant Fonterra wants to pour another $250 million into trebling milk production at its Darfield site with a new dryer vying to be the largest in New Zealand.

The co-operative entered talks about stage two of the project with neighbours at a community meeting yesterday and is about to begin the consent process. The plan is to have the second dryer built by 2015 as the $200m site, still being constructed, is expected to be at full capacity by then.

 German investors pay $33m for farm – Collette Devlin:

A German investment management company is now possibly the largest player in rural land in Southland after it spent $33million to buy a dairy farm at Dipton.

Aquila AgrarINVEST Investitions Gmbh was granted approval under the Overseas Investment Act to secure the acquisition of rights or interests in up to 100 per cent of the units of Glencairn Ltd Partnership, which owns or controls a freehold interest in 1401ha of an existing dairy farm. . .

Following role models could double NZ food production:

Following role models could double NZ food production

New Zealand could produce enough food to feed around 40 million people if every farm performed at the same level as the most profitable, said Ballance Agri-Nutrients Chairman, David Graham.

He was speaking at the Ballance Farm Environment Awards annual showcase held in the Hawke’s Bay on 25 June.

“New Zealand currently produces enough food to feed approximately 20 million people. We know our most profitable farms achieve an economic farming surplus of $3,500 per hectare, yet the average farm achieves just over $2,000 and about half of all farms are operating below this.

“To double the amount of people we can feed we must lift our production by working on assisting the bottom half of this bell curve to lift its game.” . . .

My word, look – speculation works – Tim Worstall:

This followed a report on Thursday that showed US farmers had planted more corn than analysts had expected and that stocks of the grain were higher than forecast across the US.

Corn futures fell more than 6pc on Friday, bringing the fall since a US report was issued to about 10pc. . .

The Great corn con – Steven Rattner:

FEELING the need for an example of government policy run amok? Look no further than the box of cornflakes on your kitchen shelf. In its myriad corn-related interventions, Washington has managed simultaneously to help drive up food prices and add tens of billions of dollars to the deficit, while arguably increasing energy use and harming the environment.

Even in a crowd of rising food and commodity costs, corn stands out, its price having doubled in less than a year to a record $7.87 per bushel in early June. Booming global demand has overtaken stagnant supply. . .

Hat tip:  Anti-Dismal


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