Saturday, August 14, 2010

Wheat Soars; Rogers Sees 'Much Higher' Food Prices

The July rise in wheat prices, the fastest in 51 years, indicates that shortages in agriculture are coming, Jim Rogers, chairman of Rogers Holdings, told Tuesday.

Wheat prices in Europe hit their highest level in two years, rising almost 50 percent since late June as Russia's wheat crop was affected by drought.

"That's the straw that broke the camel's back," Rogers, who has been warning about shortages coming in the agriculture sector for a while, said in a telephone interview.

"We're going to have much, much higher prices over the next few years," Rogers, a hedge-fund pioneer who started the Quantum Fund with George Soros in the 1970s, added.

Investors finally began to realize that prices for agricultural commodities have been too low for too long because of subsidies and other factors, which made agriculture an unattractive area for workers, he explained.

"Be prepared, if you have a sugar bowl home go fill it up because it's going to be more expensive," he said. FULL STORY

I have been following financial news since 2005 and have been hearing about the coming food shortages for several years now. You can always tell when it's close because that's when our wonderful media finally picks up on the story. Of course most people look at you like your some kind of nut case until they hear it on one of the main stream news outlets. By then, it's usually to late for them to take it seriously and prepare.

But those of us who did take it seriously are busy stocking our shelves with home canned and dehydrated goodies. So, if your wondering why I haven't been posting lately, it's cause I've been canning and will be for the next couple of months.

No comments: