Search KOMU Archives
blank botright
No Easy Answer to High Prices
blank
KOMU Story Toolbox
blank
blank
blank
blank
blank
blank
blank
blank
blank

KINGDOM CITY - A new report from Europe blames the global rise in food prices mostly on the demand to use corn for fuel, but some local corn growers disagree.

There is not a simple answer to high prices. Fred Atkinson has been farming for 45 years. He's seen the highs and lows of all crops.

"The price of corn and wheat and beans, all commodity prices are good, and the ethanol is part of the reason we have good prices.  But that's not the reason food prices are high," said farmer Atkinson.

According to Gary Marshall of the Missouri Corn Growers, food costs in Missouri are no higher than they are anywhere else in the United States.

"In fact, we believe that using corn based ethanol is helping to lower gasoline costs for Missouri consumers," said Marshall.

The United States Department of Agriculture predicts food prices will rise between 4.5 to 5 percent this year. The Missouri Corn Growers say it won't be that much--about 3 percent--and that increase won't come from higher prices for corn.

One Missouri grocer says it's complicated. She sees the demand for corn being a problem.

"Is that causing higher food prices? Yeah. But also the big picture is that it's a small part of the big picture. And fuel prices definitely affect your food costs," said Clover's Owner Patty Clover.

While some might think that corn isn't the best option for ethanol, Atkinson says that there is an abundance of corn, and in the future there might be more options for fuel.

"I really feel like in a couple of years, given the ingenuity of the American farmer and farmers across the world, that we'll be in a surplus situation again before we know it." said Atkinson.

Reported by: Kathryn Lucchesi
Posted by: Beth Hoag

blank
KOMU VIDEO ON DEMAND
Download this Story Video
blank