Does corn demand affect food prices? - WALB.com, South Georgia News, Weather, Sports

Does corn demand affect food prices?

June 20, 2007

Valdosta - The value of corn is up, because of the rising interest in ethanol production in the United States. And more and more growers are swapping out their row crops to plant more corn. 

But will it cost you more at the market? Agronomist Dewey Lee doesn't think so.

A consumer price index released by the Department of Agriculture says the prices of fruits, dairy and corn related products are soaring.

And while the increasing price of corn many be partially to blame, there are many more factors to consider. 

"Rising wages, rising fuel, rising transportation, rising petroleum products for packaging. All of these factors go into the raising the price of food much more than what the price of corn would do to it," says University of Georgia professor and Extension Agronomist Dewey Lee.

However, Lee does say many farmers could feel the financial pinch, since higher corn prices mean an increase cattle feed.

Feedback: news@walb.com?subject=corn
 

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