Higher Prices for Farmers but Also Higher Costs: Why American Farmers Are Unable to Cash in on the Current Demand for Food

The L.A. Times’ Jerry Hirsch is reporting that costs are rising faster than prices for farmers, and accordingly, the much bally-hooed price increases are doing nothing to ease the plight of farmers, who may be cutting back production rather than scaling up. If this is true, we haven’t seen the worst yet. One quote from the article:

“The cost of farming an acre of corn, for example, has risen almost 47% over the last year, according to Wells Fargo & Co. estimates, outpacing the 35% increase in the price of corn in the same period.”

 

Read the entire article at http://www.latimes.com/business/la-fi-farm13-2008may13,0,38893.story