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Author Topic: Phenomena: Worldwide rise of consumption prices  (Read 111 times)
Shehrazad
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« on: March 02, 2008, 12:53:20 AM »

There is new growing phenomena in many countries those latest months...

The infernal rise of prices doesn't touch one region (even US is not exception I suppose), but it occurs in oil-producer countries: ME like KSA or UAE have seen their essentials good's prices in hell rate (Rice, meat, vegetables...)

In Europe, UK has registered more than 3% inflation last 2 months; last week a French magazine has issued a catalog of more than 60 goods which would know a new high prices: milk, Yaourt, cheese, some meats, cereals products would make a rise between 40% and 60% !!!

Oil price is of course one of the elements which has promoted this general grow, however it can't be limited on this cause.

- China (and also India) has been shown a real rise on demand concerning essentials cereals, there is a growing portion of riches among Chinese society; and the rest of people is more and more diverting consumer.

- The offer is suffering, it was said that it can't supply that growing demand: climate disorders are in top of those causes- Australia which is a main producers of cereals and other essentials food has known big dryness last year.

-other causes like speculation and trust between main producers  shouldn't be exluded!

What main consumer (US, China, India) and main producers 5ME, Europe..) have to do in order to limit this phnomena?
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Jericoacoara
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« Reply #1 on: March 02, 2008, 03:25:34 PM »

3 possible reasons;

1)The influence of the demand from China. What the chinese want impacts on prices of the food we consume. For example, a year or so ago the Chinese Leader said in an off the cuff comment that it is important for chinese people and their bones to drink some milk. The result that millions and millions of chinese people suddenly turned to drinking milk, meaning that milk prices went through the roof of many european countries. Especially Germany where it skyrocketed. This has social implications as well due to the high number of babies who have cows milk for their diet.

2)Changing weather conditions - Drought, floods etc. Australia is on stage 4 water restrictions so many crops cannot grow like they used to.

3)Supply of some foods -Price of Fish for example has gone through the roof in recent years, due to many of the oceans being fished out and a lack of supply left. About 5 years ago the price of a good steak at the supermarket here was perhaps 3 times the price of fish. now they are roughly about the same price. Which has health implications because fish is a very healthy source of protein and helps people eat healthy.
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Shehrazad
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« Reply #2 on: March 03, 2008, 12:09:55 AM »

I don't exclude globalization casualties: more monopolistic behaviour by the greatest producers which they  improve  new hidden Trust tactics in order to fix high prices!- but when invited in tv they all play the innocent, and put causes over chinese demand, VAT rate, and oil price!!

Anyway, I see also China eating the world slowly like a snake.


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“The exact contrary of what is generally believed is often the truth.”- Jean de la Bruyère

\\\"Education is the most powerful weapon which you can use to change the world\\\".

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