The media continues to ignore the initial cause for unrest in Egypt, Tunisia, Yemen, Jordan and other parts of the Middle East, RISING FOOD PRICES. Commodities prices for food and textile items such as grains, meat, cotton, sugar and other related commodities have risen sharply in the past two years primarily due to US monetary and energy policy which are fueling global inflation fears. Lower yields in some countries are also contributing to the supply shortages. The index of food items published by the International Monetary Fund shows that the index of Cereal, Vegetable Oils, Meat, Seafood, Sugar, Bananas, and Oranges Price Indices have risen from $100 in 2005 to $176.90! it is projected to double by this summer!
The UN’s FAO Abdolreza Abbassian, a FAO economist and grains expert is reporting:
“The new figures clearly show that the upward pressure on world food prices is not abating. These high prices are likely to persist in the months to come,” .
“High food prices are of major concern especially for low-income food deficit countries that may face problems in financing food imports and for poor households which spend a large share of their income on food.”
From the FAO latest commodity survey: “..the Food and Agriculture Organisation said its index which monitors monthly price changes for a variety of staples averaged 231 points in January — the highest level since records began in 1990.
The US has engaged in a deliberate policy to divert much of its grain production into Ethanol rather than channel it into food usages. The US has historically been one of the largest producers and exporters of wheat and other grains. In addition to substituting land use from agricultural commodities to energy commodities, our Government has been engaged in a systematic effort to eliminate prime agricultural lands, especially in the West, through the Department of Interior’s water policies and the EPA’s chemical and dust regulations. The Westplains Water District, part of the Westlands Water District, has recently removed some 400,000 acres from production due to government policy. These lands are some of the most productive land on this earth capable of extremely high yields.
Bernanke is an Idiot!
The Fed Chairman came out yesterday and said that his monetary policy had nothing to do with rising food prices! He said:
“I think it’s entirely unfair to attribute excess demand pressures in emerging markets to US monetary policy, because emerging markets have all the tools they need to address excess demand in those countries,”
Excess Demand! It is called subsistence and barely surviving. In Egypt, many of its citizens live on $2.00 per day. They are just trying to feed their families BEN. What tools? Egypt has a controlled, non traded currency with no free foreign currency; Tunisia has similar controls on their currency so neither can manipulate their economies like YOU can. When China tries to manipulate their currency, like you do, you chastise them for unfair trade practices! YOU are inciting fears of global inflation and actually fueling global inflation by your uncontrolled printing of money and the monetizing of the US debt. You try to blame Congress but you have printed more money and loaned out more of OUR money than Obama and his Co-conspirators in Congress spent to drive up the deficit.
The Obama and Bush administrations are both complicit in creating yet ANOTHER BUBBLE, except this one is even more potentially dangerous than the disasters they created in the US housing and financial industry markets. A food commodity bubble is devastating to the poorest countries and creates international chaos which will yield violence and political turmoil that will be exploited by the radical elements around the world. When people are starving, there is not much else that matters. In Egypt, Tunisia and other countries this is not about President Mubarak, or President Ben Ali, it is about feeding your family. Egypt is a poor country and it has been kept so by International Policy groups such as the IMF, the World Bank, the US, the UN and others. Our generous aid to Egypt amounts to $20.00 per person in Egypt. That is not even Starbucks money for most Americans for one month.
When you are sitting by the side of the Nile, in your crude dwelling, your daily household income is under $10.00, you have 8 children, your life expectancy is 42 years of age, you don’t care about Barack Obama, Ben Bernanke, the Fed, Mubarak, or anything else outside of your small world. You just want to feed your family and survive one more day. You don’t care about politics, the Muslim Brotherhood, or Mickey Mouse. You care about surviving.
We need to help the leaders of these impoverished countries restore peace and change OUR policies so they can feed their own people. Our trying to overthrow these governments will only cause more innocent people to be injured or killed. The fighting will reduce whatever little resources these countries have at their disposal. IF there are reforms needed, then work behind the scenes with these leaders and help solve the real problems.
FREEDOM AND DEMOCRACY MEAN NOTHING IF YOUR CHILDREN ARE STARVING!
Obama, remember your own words you uttered in Cairo not so long ago:
“So let me be clear: no system of government can or should be imposed upon one nation by any other.”
So, quit meddling in the internal affairs of Egypt, Tunisia and others who are fighting the tyranny of poverty.. We need to ensure that subsistence is guaranteed to all, then we can worry about their other “rights”.