China makes Huge Purchase of Corn In The U.S.

“In the long run, it should have a pretty big impact on global corn prices,” Li said of the growing demand from China”.

China has made one of its biggest-ever purchases of corn on overseas markets, buying 900,000 metric tons of American corn and showing that growing Chinese demand will play an ever larger role in global grain prices”.

It is hard to figure out this one, and what is going down. Reading the full story, one could think China cannot take care of its own. On our side, this will put much pressure on our own Agriculture. With the subsidies and rising value of corn production, farmers will be happy to grow this crop, that is if our government will let them. Meanwhile we are burning our own food: Ethanol now consumes more corn than for animal feed for the first time, corn prices reach record high Your thoughts?

“The Department of Agriculture will soon be helping gasoline stations install new pumps that can dispense fuel with higher ethanol content”, USDA Secretary Tom Vilsack said.

The USDA will soon offer grants and loan guarantees for the installation of costly new “blender pumps” so drivers can purchase fuel with a higher ratio of corn-based ethanol.

Just four companies—Cargill, Archer Daniels Midland, Bunge, and Louis Dreyfus—control up to 90 percent of the global trade in grain. In the United States, three of those firms process 70 percent of the soybeans and 40 percent of the wheat milled into flour. The bulk of corn and soy grown by US farmers ends up feeding animals in vast factories, and here, too, the consolidation is dramatic: Three companies now process more than 70 percent of all beef, and just four firms slaughter and pack upwards of 58 percent of all pork and chicken.From Big Food Makes Big Finance Look Like Amateurs

Then we have Agenda 21? Family Farm comes under attack

By reclassifying all farm vehicles and implements as Commercial Vehicles, the federal government will now be able to claim regulatory control over the estimated 800,000 farm workers in America, at the same time, overriding the rights of the states.

Some of the additional paperwork and regulation required:

  • Detailed logs would need to be kept by all drivers – hours worked, miles traveled, etc.
  • Vehicles would have to display DOT numbers
  • Drivers would need to pass a physical as well as a drug test – every two years.

So figure this one:

Corn prices on the Chicago Board of Trade have increased about 70 percent over the past two years though have eased from near record highs in June.

The U.S. Department of Agriculture announced Thursday that China had made the purchase, which comes despite an expected record grain harvest in China this year. China’s corn consumption probably totaled 176 million tons in the crop year that started Oct. 1, 2010, according to the department .

The purchase was necessary to help fill China’s dwindling corn reserves, said Hanver Li, chairman of the market research firm Shanghai JC Intelligence Co. Ltd., on Friday. Before it is News

Romney consulted Czar Holdren while Governor

More good news this weekend. This time, from my favorite Rhino Mitt. Ed Morrisey breaks it down later, I wonder if Ed has given up on Perry? From my earlier post:  White House Czar says he would use the Free Market to de-develop the Unnited States

“De-development means bringing our economic system (especially patterns of consumption) into line with the realities of ecology and the global resource situation,” says  White House Office of Science and Technology Director John P. Holdren.

 Here we go:

Back in 2005, while he was implementing “the toughest” emissions caps in the country (a Massachusetts sized version of cap and trade, which failed in the Senate), Mitt Romney took advice from Obama’s “science czar” John Holdren. Holdren, you may remember wants to “de-develop” the United States and favored population control through forced sterilization.

It won’t surprise anyone to learn that energy imports in Massachusetts skyrocketed at that time. Ed Morrisey breaks it down:

So what has happened to Massachusetts’ electrical production since signing these regulations into law?  According to the EIA, whose latest data is for 2009, it dropped 18% in four years, from over 46 billion megawatt hours to 38 billion.  International imports, however, went from 697 million megawatt hours in 2006 to 4.177 billion megawatt hours two years later, and to almost 5 billion megawatt hours in 2009, more than twice the amount imported in any of the previous twenty years.

Then we have Romney thanking Kennedy for his help with the Health Care bit: Getting Federal Funding.

H/T:Town Hall>

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