Food shortages abroad affect prices at home
1979
Smith, Tom
Intensified demands from abroad for American grains have increased domestic food prices. High grain prices also have an adverse effect on expansion of U.S. pork and poultry industries and on the rebuilding of cattle herds. A shortage of meat has triggered demand and higher prices for beef substitutes such as pork, poultry, and dairy products. The size of the 1979 and 1980 corn crops and their effects on cattle and hog prices are probably the key factors in the food price inflation picture for the next two years. The government has failed to manage intelligently domestic supplies and exports of key food and feed grains. Only a small percentage of total grain exports are covered by export agreements between the United States and other countries. A grain management plan should be constructed by the Carter administration to stop the inflationary pattern and provide stability.
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