Who’s to blame for high food prices?

Good AP article today. It discusses the recent and expected rises in food prices. There’s debate over the cause. Some accuse farmers, others accuse oil industry and others still blame speculators or the ethanol industry.

The U.S. Department of Agriculture report released last month that broke down where each dollar spent on groceries goes. Farmers received an average of 11.6 cents per dollar in 2008, the latest year data was available. That was down from 13 1/2 cents 10 years ago and from 14 1/2 cents in 1993, the USDA report showed.

The rest of the money goes to processing, packaging, transportation, retail trade and food service, which includes any place that prepares meals, snacks and beverages for immediate consumption including deli counters and in-store salad bars.

Regardless of who’s the root of the rise, the fact is, prices are increasing – and they will continue to go up for the foreseeable future:

Corinne Alexander, an agriculture economist from Purdue University, predicted food inflation will average between 4 percent and 4 1/2 percent this year. Normal food inflation is about 2 1/2 percent, she said.”We are going to enter that world again where folks are getting squeezed…

Want to feel less of that “squeeze”? Think about Angel Food.

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