Kendall Powell, General Mills

He jokes he’s the one foreign company on the panel. He’s from Minnesota.

The conversation moves to commodity prices, particularly agricultural.

Wait for it…

Yep, we’re diverting too much of the world’s food into biofuels.

McCain says the biofuel subsidies are distorting the market. (Oh, he was much more subtle in his statement, but I know where he’s going on this one.) McCain asks about the rice market. What’s creating the rise in that crop’s price?

Powell says he honestly doesn’t know and moves back to the one point: there’s no reason to divert food for fuel.

Comments

  1. Increased demand for rice by the new middle class in India and China who can now afford to eat more?

  2. Mandated and subsidized ethanol production has increasingly becoming a corrupt and immoral policy that threatens not just the US but the worldwide economy, personal finances, and especially the worlds poor that are on the frontline of starvation due to decreased food supply along with rising prices

  3. Not to mention our huge corn surpluses and low corn prices which hurt farmers beforehand. I’m not advocating biofuels, but I am saying it’s a double-edged sword.

    Not to mention, oil is at all-time highs because of McCain’s war.

  4. McCain’s war? You mean we’re no longer blaming it on Bush? It’s so hard to keep up. 😉

  5. Dave Frank says:

    We should blame Hillary too…

  6. I agree with Shawn, however, that farmers have been struggling with low pricing as far back as I can remember (which may be two weeks or 45 years depending on the day I’ve had 🙂

  7. Shawn – Just curious. How many other low prices besides corn should be fixed (subsidized)?

  8. I did not ever say they should be subsidized, I just said there is a ying to every yang, but I should have known someone would try and take my comments out of context. Nice try, Leapin.