Saturday, June 4, 2011

World Food Shortage

http://seekingalpha.com/article/272533-a-world-food-shortage-is-looming-buy-ag-stocks

The world grain inventories were already depleted from truly terrible weather in 2010. Now we are seeing even worse weather so far this year. China is experiencing its worst drought in 50 years. The government says this weather is decimating a major grain belt, and it is leaving livestock without water. Fish farms have been ruined. Who knows the long term effects? More than 4.3M people are having trouble finding drinking water. Actually this last is a much bigger problem throughout China, which has a long term drinking water problem. The Chinese have released extra water from the Three Gorges Dam to partially alleviate the drought downstream of the dam in the Yangtze drainage basin. If there is no rain by June 10, the Chinese will lose the ability to do even this.

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