Is the surge grain prices due to rising ethanol demand?
Some basic facts: Is the surge grain prices due to rising ethanol demand? Some basic facts Declining global grain stocks provide a context for more volatile markets Substantial drop in global grain stocks: Substantial drop in global grain stocks Is the surge grain prices due to rising ethanol demand? Some basic facts: Is the surge grain prices due to rising ethanol demand? Some basic facts Declining global grain stocks provide a context for more volatile markets Extreme weather patterns have lowered global cereal production and exports. Increased ethanol production has raised wheat and coarse grains use. The drop in supplies has been much larger than the rise in demand Supply-demand shocks in world cereal markets: Main quantity changes in 2006-07: Supply-demand shocks in world cereal markets: Main quantity changes in 2006-07 -40 -30 -20 -10 0 10 20 Australia USA Canada EU Total Million tonnes Wheat production Coarse grain production Cereal use for ethanol The longer term market and tra
