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Clarkson on the nail again?
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<blockquote data-quote="Lowland1" data-source="post: 8139406" data-attributes="member: 66524"><p>A question Clarkson asks is will Africa be able to afford £300 a tonne wheat. Last October pre crisis I sold mine off the field at £275 a tonne in March I harvested and sold at £315 and now its £380 a tonne bread sells here at 70 pence a loaf . I am growing more wheat because the price is good and it suits my rotation but the difference between Africa and the UK will be the cost of the flour in the loaf in the UK the flour will be just a fraction of the cost whilst in Africa flour will be the greater proportion. In Africa we are used to the fact that people are poor so can only afford to spend some much ( which is generally 50%+ of their income ) on food. A 3 kg cabbage leaves the farm here at 10p. Last month BP made its biggest ever profit not because suddenly oil has become harder to find and costs more to extract but because their is perceived shortage caused by world events so it can put its prices as high as it can until demand starts to decline. It's the same with wheat if Cargill can frighten the life out of the world then whatever commission it takes on moving wheat goes up. I wonder how many farmers think how can I farm better with less fertilizer rather than the price is going up I better get some now no matter the price. It's a bit like toilet paper better stock up. Tough times are ahead and people better adapt for sure but an awful lot of this is driven by corporations looking to increase their profits.</p><p>As for northern Kenya they are always in famine because they spend their time shooting each other and stealing their cattle.</p></blockquote><p></p>
[QUOTE="Lowland1, post: 8139406, member: 66524"] A question Clarkson asks is will Africa be able to afford £300 a tonne wheat. Last October pre crisis I sold mine off the field at £275 a tonne in March I harvested and sold at £315 and now its £380 a tonne bread sells here at 70 pence a loaf . I am growing more wheat because the price is good and it suits my rotation but the difference between Africa and the UK will be the cost of the flour in the loaf in the UK the flour will be just a fraction of the cost whilst in Africa flour will be the greater proportion. In Africa we are used to the fact that people are poor so can only afford to spend some much ( which is generally 50%+ of their income ) on food. A 3 kg cabbage leaves the farm here at 10p. Last month BP made its biggest ever profit not because suddenly oil has become harder to find and costs more to extract but because their is perceived shortage caused by world events so it can put its prices as high as it can until demand starts to decline. It's the same with wheat if Cargill can frighten the life out of the world then whatever commission it takes on moving wheat goes up. I wonder how many farmers think how can I farm better with less fertilizer rather than the price is going up I better get some now no matter the price. It's a bit like toilet paper better stock up. Tough times are ahead and people better adapt for sure but an awful lot of this is driven by corporations looking to increase their profits. As for northern Kenya they are always in famine because they spend their time shooting each other and stealing their cattle. [/QUOTE]
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Clarkson on the nail again?
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