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Subject:  Egg Prices Soar over Easter Weekend Date:  3/23/2008  7:29 PM
Author:  bullshiite Number:  37406 of 580

Record egg prices over Easter weekend?! Oh the irony.  The average price for a dozen eggs has increased 23%, from the same time last year, to $2.17 according to data released from the Bureau of Labor Statistics.  The reason for the increase in egg prices correlates with the increase in the price of corn feed.  According to Daniel Sumner, "One-half of the farm price of eggs is the feed price," which means it is costing $1.09 in corn/soy feed per egg.  

Daniel Sumner, director of the UC Agricultural Issues Center, said federal policies designed to encourage ethanol production have caused two separate shifts. Corn farmers have been selling more of their harvest to be processed into fuels, and that has driven up the cost of the part of the crop that goes into various animal feeds.

The lure of the ethanol market also has caused many farmers to replant what normally would be soybean acres into corn, Sumner said. The resulting drop in soybean acreage has boosted prices for that versatile crop, which is the other key constituent of henhouse cuisine.

In the on going battle of 'fuel vs food' it looks like fuel has scored another victory and the consumer is left paying record prices at the pump and record prices at the grocery store.


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