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Fluctuating Food Commodity Prices. A Complex Issue With No Easy Answers

R. Trostle. ERS. USDA

Miércoles 8 de septiembre de 2010, por Carlos San Juan

Fluctuating oil prices seem to be the issue of the day, but the cost of food commodities—particularly staples such as grains and vegetable oils—is a close second in grabbing global headlines. According to the International Monetary Fund (IMF), world market prices for food commodities rose more than 75 percent from the beginning of 2006 to July 2008.
Prices for food commodities increased sharply over the past 2 years.
- Rising food demand in developing countries outpaced production growth of major food commodities, and demand for global stockholding has fallen.
- Other factors behind higher food prices are increased energy costs, demand for biofuels, a weakening U.S. dollar, adverse weather, and policy responses by some major exporting and importing countries.

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