If you ask a metrologist you will get this answer. But from what I’ve heard from eu farmers are: Russian fertilisers and gas dependence have caused quite a blow to the market, it will need time to normalise.
That's part of the equation for sure but extreme weather events have a massive impact where I live. Talking to producers, they are losing way more of their production way more frequently due to intense rain or dry events. As an exemple, someone who manages orchards was telling me that the norm now is to lose 1 year of harvest every 5 years when it was every 10 years 20 years ago.
Talking with small scale organic veg growers who are less dependent on russian oil, managing weather events is the hardest part of their job. Currently, the soil is as dry as it usually is end of august where i am.
Where do you live? Rain and dry has not become more intense in most parts of the world, so local climate change of that sort isn't driven by CO2. For example, in the UK rainfall levels haven't changed since recordings began, there's no increase in outlier events either.
A doubling of crop failure rates in just 20 years is definitely not something that should be immediately blamed on global climate change. It's possible there's some local climate change for non-CO2 reasons. In 20 years there's been just 0.2 degrees of average warming, which is barely detectable (CIs on weather stations are often much larger!)
I see the war in Ukraine as one of them. They have huge areas of farm land, valuable in times where climate change makes farming impossible in other regions. And many big companies and countries are already invested in there. You can already see how dependent some countries are on this base on the different price spikes. (While the question remains if farm products should be traded on stock markets).
In the little corner of Europe where I live food became more noticeably expensive with the Ukraine war. Not everything but a number of items. At one point, the price of olive oil was raised because vegetable oil had to be cheaper than olive oil!
Ukraine is the largest exporter of sunflower oil with Russia being #2. They are still #1 as of 2023 [1] so the war appears not to have completely interrupted supply but may have made it more expensive to distribute. WSJ reports that the war's effect on sunflower oil is causing a rise in price of all cooking oils.
We're talking about mainly 4 countries in the Mediterranean Sea.
The way I see it is that while it's true that there is an issue with the weather, they increased the prices in 2022 due to old high-demand/low-offer law (other cheaper oil not available, buy whatever is there: olive oil). The prices never decreased though, or if they did, it's unnoticeable. This pattern I have seen multiple times in my life: once companies realize people are going to pay for something for a certain price, why reduce it?
Portugal. You would have to live here I guess. It was about 2 years ago and I don't have any sources to give you. Ask the locals if you know any.
Olive oil may be more expensive in general now because of poor harvests but at the time local production had been good and there was no reason to raise the price. The rationale? I guess it was profit.
have you been on the grounds of the olive oil producers? they had to increase prices because crisis talk and civil conflicts increased prices elsewhere. even unrelated prices cause increases up the graphs in all directions. it's mostly lies, of course, but they catch up.
don't take my word on it, obviously, but the math checks out "if you follow the money". essentially, logistical cost increases as well as oil and insurance prices were the determining factors, not extreme weather. despite zero change in the scarcity of any of the factors. (they found more oil etc)
crisis talk was also the reason for increased demand in some countries as idiots started to stock up and panic buy. I remember buying flour at a local producer and she said "they are all fucking crazy, nothing changes". the Russians were still stuck for days in front of the border in a long convoy, wahahaha, according to the news.
Cherries, Apricots, and Peaches produced no fruit this year in the Balkans (and possibly elsewhere in Europe), due to an early winter warm followed by a frost that destroyed all blooms. That will likely impact a lot of european canning and food producers.
We will see much more of this. Consequences of climate change start to really ramp up. We have been seeing temperature records year after year way beyond expectations. It’s coming fast and it is happening now, not just affecting our children and grandchildren. Recommend the „time is up“ talks from Mark Benecke (most are in German, subtitles and looking at the graphs should give you the gist though).
What is particularly interesting is the spike in prices of beef. If climate extremes are causing food price shocks one would think that the beef price spike is caused by feed price shocks.
Feed prices are down at 2019 levels. And most cattle farmers are bitching that their wholesale prices are down. The fed data here seems to be MOSTLY from the processors and only some of it (the data with lower prices) from the larger market.
I dont doubt that there are shocks to the market, but it looks like there is a lot of gouging going on that is a hang over from the pandemic.
> What is particularly interesting is the spike in prices of beef. If climate extremes are causing food price shocks one would think that the beef price spike is caused by feed price shocks.
This is specious reasoning because the cost of goods sold for beef involves more than just feed. Labor prices, especially at the low end which meat processors typically pay, have increased.
The largest publicly listed beef processors are reporting very low single digit profit margins (as do grocery stores) :
It is reasonable to assume Cargill and National Beef are in the same boat (since processing beef does not involve some secret technology that would give them a leg up).
It's energy plus food. Fertiliser is made from gas (generally) so there's a double hit. First feed prices go up, then fertiliser prices go up, then beef prices go up.
We really (as a species) need to get off oil based stuff if we want to reduce inflation over the longer term (and for all the other climate based reasons too).
I do not understand all the relativations here: If we crash the climate, we destroy the foundations for living on this planet, at least for most of us (billions). Sure, the current question is why we suddenly have none for weapons and even mightier AI while this would better be spend to get away from fossil fuels.
I wonder if more and more food production will shift to giant, climate-controlled greenhouses?
Where I’m from we get fresh locally produced tomatoes and cucumbers in winter, although it’s freezing outside. It seems like an obvious band-aid if food prices rise enough to make it economical for more crops.
Lack of water and extreme weather events (hurricanes, landslides, strong floods, long droughts, heat, cold) will play a major role in the future. Locations/facilities that protect from these problems will be desired and fought for. War and crime probably will also be an issue, as such locations are sparse compared to how much we need to feed the world.
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Not trying to downplay extreme weather though!
Talking with small scale organic veg growers who are less dependent on russian oil, managing weather events is the hardest part of their job. Currently, the soil is as dry as it usually is end of august where i am.
That sounds apocalyptic given that these things have only just begun.
A doubling of crop failure rates in just 20 years is definitely not something that should be immediately blamed on global climate change. It's possible there's some local climate change for non-CO2 reasons. In 20 years there's been just 0.2 degrees of average warming, which is barely detectable (CIs on weather stations are often much larger!)
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[1] - https://oec.world/en/profile/hs/sunflower-seed-or-safflower-... [2] - https://www.youtube.com/watch?v=1rtWDmo0rKg
The way I see it is that while it's true that there is an issue with the weather, they increased the prices in 2022 due to old high-demand/low-offer law (other cheaper oil not available, buy whatever is there: olive oil). The prices never decreased though, or if they did, it's unnoticeable. This pattern I have seen multiple times in my life: once companies realize people are going to pay for something for a certain price, why reduce it?
Olive oil may be more expensive in general now because of poor harvests but at the time local production had been good and there was no reason to raise the price. The rationale? I guess it was profit.
don't take my word on it, obviously, but the math checks out "if you follow the money". essentially, logistical cost increases as well as oil and insurance prices were the determining factors, not extreme weather. despite zero change in the scarcity of any of the factors. (they found more oil etc)
crisis talk was also the reason for increased demand in some countries as idiots started to stock up and panic buy. I remember buying flour at a local producer and she said "they are all fucking crazy, nothing changes". the Russians were still stuck for days in front of the border in a long convoy, wahahaha, according to the news.
https://www.independent.co.uk/news/uk/home-news/cherries-tes...
https://fred.stlouisfed.org/categories
What is particularly interesting is the spike in prices of beef. If climate extremes are causing food price shocks one would think that the beef price spike is caused by feed price shocks.
Feed prices are down at 2019 levels. And most cattle farmers are bitching that their wholesale prices are down. The fed data here seems to be MOSTLY from the processors and only some of it (the data with lower prices) from the larger market.
I dont doubt that there are shocks to the market, but it looks like there is a lot of gouging going on that is a hang over from the pandemic.
This is specious reasoning because the cost of goods sold for beef involves more than just feed. Labor prices, especially at the low end which meat processors typically pay, have increased.
The largest publicly listed beef processors are reporting very low single digit profit margins (as do grocery stores) :
https://www.macrotrends.net/stocks/charts/TSN/tyson-foods/pr...
https://www.macrotrends.net/stocks/charts/JBSAY/jbs-sa/profi...
It is reasonable to assume Cargill and National Beef are in the same boat (since processing beef does not involve some secret technology that would give them a leg up).
We really (as a species) need to get off oil based stuff if we want to reduce inflation over the longer term (and for all the other climate based reasons too).
Corn: https://fred.stlouisfed.org/series/WPS012202
Soy: https://fred.stlouisfed.org/series/PSOYBUSDM
Both the major inputs to cattle feed are flat, and thats in the face of:
Fertilizer is up: https://fred.stlouisfed.org/series/WPU0652026A
Gas (delivered, by pipe, and were burning this off still so no reason for the price to go up this high) https://fred.stlouisfed.org/series/APU000072620
Where I’m from we get fresh locally produced tomatoes and cucumbers in winter, although it’s freezing outside. It seems like an obvious band-aid if food prices rise enough to make it economical for more crops.