Tuesday, July 10, 2012

The Corn Is Dying All Over America


Michael Snyder
Economic Collapse Blog
July 10, 2012
All over America the corn is dying. If drought conditions persist in the middle part of the country, wheat and soybeans will be next. Weeks of intense heat combined with extraordinarily dry conditions have brought many U.S. corn farmers to the brink of total disaster. If there is not significant rainfall soon, many farmers will be financially ruined.

This period of time is particularly important for corn because this is when pollination is supposed to happen. But the unprecedented heat and the extremely dry conditions are playing havoc with that process. With each passing day things get even worse. We have seen the price of a bushel of corn soar 41 percent since June 14th. That is an astounding rise. You may not eat much corn directly, but it is important to realize that corn or corn syrup is just about in everything these days. Just look at your food labels. In the United States today, approximately 75 percent of all processed foods contain corn. So a huge rise in the price of corn is going to be felt all over the supermarket. Corn is also widely used to feed livestock, and if this crisis continues we are going to see a significant rise in meat and dairy prices as well. Food prices in America have already been rising at a steady pace, and so this is definitely not welcome news.
The weather conditions in the middle part of the country during the last couple of months have been highly unusual. The following is from a recent article in the Los Angeles Times….
It’s not that the Midwest hasn’t been extremely hot before, and it’s not that it hasn’t been incredibly dry.
But it’s unusual for a vast swath of the Midwest to be so very hot and so very dry for so very long — particularly this early in the summer.
The current heat wave — which is spurring comparisons to the catastrophic heat of 1936 — is “out of whack,” meteorologist Jim Keeney said Friday in an interview with the Los Angeles Times.
Corn crops typically pollinate and mature in June and early July. That is why this time of the year is so vitally important for corn. We have reached a make it or break it moment.

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