Food Inflation Accelerating as Cooking Oil Poised to Catch Grains

[Newsjock]

Source: Bloomberg

Cooking oils, left behind in this year’s surge in agriculture prices, are poised to catch up with grains as record demand cuts stockpiles by the most in 17 years.

Inventories of soybean oil and palm oil, used by Nestle SA and Unilever and in everything from Hellmann’s mayonnaise to Snickers candy bars, will drop 12 percent in the coming year as China and India increase consumption 11 percent, U.S. Department of Agriculture data show. Food prices climbed in September to the highest level since the crisis in 2008 that sparked riots from Haiti to Egypt, the United Nations says.

... The Standard & Poor’s GSCI Agriculture Index of eight futures climbed 30 percent this year, led by corn, wheat, coffee and cotton, as floods in Canada, Pakistan and China and drought in Russia and across Europe killed crops. The economies of China and India, the biggest consumers of cooking oils, are growing at three times the speed of the U.S.

Read more: http://www.bloomberg.com/news/2010-10-31/food-inflation-rising-as-cooking-oil-poised-to-catch-up-with-grain-gains.html

[DJ13]

1. Im okay, as long as cat food doesnt go up much more

No inflation my ass SS.