I did not know this and if the author is correct
China is storing over 1/2 of the world grain supply
The question is why is china hoarding food
We all know that china fears a food shortage more than any thing else amongst their citizens but golly
There is wheat harvested some place in the world almost yr round
And other crops twice a yr in the north and southern hemisphere
Plus the oceans supply a fair bit of food yrly
Now some say the lack of energy will affect food production and processing big time
That remains to be seen
But what does china think they are doing that we don't see
Apparantly china started to hoard food, starting in mid 2020, right when grain prices exploded up ward
Nobody has given me a good reason why corn was 3.50-3.75 CAD in early 2022 and now hovers around 8.00 Cad at Hiram Walker in Windsor
Soybeans are approx 18.00 CAD at ADM
Being as cynical as I can and I have mentioned this before, but I wouldn't be surprised if we haven't reached some kind of tipping point in the food vs population ratio. It seems like the world is producing food at a ferocious pace and barely treading water in terms of ES. Where would we be if SA was only growing the amount of beans they were just 5-10 years ago.
We need one really bad weather event and we will see grain prices that seemed unimaginable at one time.
Of course, on the flip side, if EV's take off (which I strongly doubt unless the government jams them into our garages) less biofuel would mean more grains for human consumption and the price could drop in half in a couple years.
Take your pick.
i hoard all the time. well maybe you might not call it hoarding, but i always make sure i have a nicely stocked cupboard, with lots of canned goods, and a stockpile of rice and pasta. ya never know when you might break an ankle, and can't work for a few weeks.
for the chinese, remember they do not produce enough food for their citizens. so if there is a supply problem, or any kind of political problem with the u.s., they want to be well stocked to feed their citizens. if for some reason, they decide to invade taiwan, they know that the u.s. would probably cut of food shipments to china.
We have all heard the rumors of how much grain China loses over rot and rodent infestation. It would be interesting to hear some real numbers. Did you see the mouse plague they have in Australia? I wouldn't be surprised if China had that kind of issues.
I stock pile stuff too bear.
Often it's when it goes on sale.
Now that we have major inflation, its an even better time to stockpile things that will cost more in a few months.