re podcasts

Tyee, please leave the podcasts for discussion of the latest hits, etc, by the young folks, and the serious stuff, such as the topic above, for wider examination in print.

podcasts again

The above comment was prompted by a glitch of some kind which hid from display the comments above til now, so I withdraw the request.

podcasts again

The above comment was prompted by a glitch of some kind which hid from display the comments above til now, so I withdraw the request.

Globalization Dying!

So suggests the partially quoted CIBC report from Jeffery Rubin and company. He doesn't mention food transport directly, but I think one can easily see that a 100 mile diet may be closer than we like to think.

How this will help the farmer, let alone the small farmers I don't know. Life on this planet of ours appears to be entering the peak change stage.

This report on page 4

CIBC World Markets InC. StrategEcon - May 27, 2008

Will Soaring Transport Costs Reverse Globalization?

Jeff Rubin and Benjamin Tal

Globalization is reversible. Higher energy prices are
impacting transport costs at an unprecedented rate. So
much so, that the cost of moving goods, not the cost
of tariffs, is the largest barrier to global trade today. In
fact, in tariff-equivalent terms, the explosion in global
transport costs has effectively offset all the trade
liberalization efforts of the last three decades. Not only
does this suggest a major slowdown in the growth of
world trade, but also a fundamental realignment in trade
patterns.

[snip]

Higher energy costs translate directly into higher shipping
costs. At today’s oil prices, every 10% increase in trip
distance translates into a 4.5% increase in transport
costs. The duration of a typical sea voyage from China
to North America is four weeks. Including inland costs,
shipping a standard 40-foot container from Shanghai
to the US eastern seaboard now costs $8,000. In 2000,
when oil prices were $20 per barrel, it cost only $3,000
to ship the same container. But at $200 per barrel, it will
soon cost $15,000 in transport costs to ship from China
to the US eastern seaboard.

[snip]

Unless that container is chock full of diamonds,
shipping costs have suddenly inflated the
cost of whatever is inside. And those inflated
costs get passed onto the Consumer Price
Index when you buy that good at your local
retailer. As oil prices keep rising, pretty soon
those transport costs start cancelling out the
East Asian wage advantage. They already
have in steel. Soaring transport costs, first on
importing iron to China and then exporting
finished steel overseas, have already more
than eroded the wage advantage and
suddenly rendered Chinese-made steel
uncompetitive in the US market.

organic farming

After reading this article I was prompted to do a bit of research on organic farming. I learned that consumer demand is making many organic farming ventures profitable, and that the demand is verifiably growing and is not just a fad.

Present reluctance by many farmers to make the shift is due to both indoctrination by the chemical industry, and the fact that it requires a minimum of two years to become certified as organic, making the switchover somewhat risky.

However, increased demand is driving up prices to the producer, and is certain to entice more farmers to enter into organic production.

My guess is that if the trend continues, agribusiness will try to drive organics out of the market with a price war, and it will depend upon consumer loyalty to make sure organic products compete.

Since agribusiness is dependent upon oil, while organic minimises its use, perhaps in these times of rising oil prices organics will maintain an edge. At any rate, those of us who are looking for ways to combat the oilcos, the agribusiness multinationals, and our oil-based "system", this is a golden opportunity for us to do so.

In those cases where organics are perhaps more expensive, we could look at such purchases as being a self-imposed "tax" in which this time we are sure it's benefits are going to the right place.

The site below offers a realistic hope that it is not all just a pipe dream, even though it concludes with an equally realistic look at just how deadly the opposition to it will be :

http://www.twnside.org.sg/title/twr118h.htm

I've been an organic farmer

I've been an organic farmer for 29 years and can say that many organic products can be grown for much less than the agribiz crap.

When it comes to beef, the cost is far less.

Organic beef could be sold at around half the price of the feedlot garbage meat. I should know it, because I'm doing it.

The problem is the control of the markets by a handful of the corporate mafia, who steal from both the producers and the customers.

It is the biggest racket and crime wave in history. Yet, governments are supporting it and are doing their best to kill off the family farm, on the advice of their brainwashed and braindead economists.

Ed Deak. Big Lake.

I dunno about that CIBC analysis...

Maybe steel is too costly to ship from Asia because of the cost per tonne, but other products that have lower weight could probably absorb the shipping cost increases even at $200 per barrel.

Container capacity and extra cost when price goes frm $8000 to $15000...

100 Fridges - extra $70 each
200 dishwashers - extra $35 each
350 bicycles - extra $20 each
640 vacumm cleaners - extra$11 each
5000 pairs jeans - extra $1.40 each
gadjillion ipods - no effect

I don't see those factories coming back here anytime soon.