Corn, rice prices surge as global food tensions mount

Meanwhile, the Asian Development Bank warned Asian countries against export controls, and the Inter-American Development Bank said the food-versus-fuel debate had changed the way it evaluates financing of biofuel projects that could siphon off staples like corn or soybeans.

Even in the United States, the world’s breadbasket, a leading retailer reported signs of growing concern about rising food costs and dwindling supplies.

James Sinegal, chief executive officer of Costco Wholesale Corp, a U.S. warehouse club selling food to consumers and businesses, told Reuters on Tuesday the retailer had seen a spike in demand for items like rice and flour.

Sinegal said some Costco store managers may have taken “precipitous action,” by putting limits on sales of certain items. But he said if the retailer runs out of these items, they are usually back in stock the next day.

“We don’t want to create a panic situation,” he said.

American bakers also are dealing with tight supplies. Rye flour stocks have been depleted and by June or July there will be no more U.S. rye flour to purchase, said Lee Sanders, senior vice president for government relations and public affairs at the American Bakers Association.

“Those that are purchasing it now are having to purchase it from Germany and the Netherlands, and that’s very concerning,” Sanders said.

She cited high demand for rye flour, used to make rye bread, and less acreage devoted to rye grain than in the past.

1|2|Next Page>>

SharePrintEmail

Write a Comment

Terms

Enter your comments - 3000 characters max

Type in image code

Submit

 Receive China Post promos
 Respond to this email