US Agriculture Supply and the Coming Election

by BWK ~ June 12, 2008

I received an article from Kevin Kerr the other day on our current US agriculture supply.

Here is the link:
http://biz.yahoo.com/rb/080609/markets_grains.html?.v=4

I like this…

“Worries about tight fundamentals, such as low stocks and high demand, was likely to continue feeding the rally in corn, market participants said.”

Gee, do ya think so?

Hey, over the weekend, parts of Indiana got hit with 10 inches of rain. Not exactly corn-weather, if you get my drift. Can’t do much planting in those conditions.

Stand by for an ag disaster this fall….

Also over the weekend, I was listening to a speech by Obama… He said that we’d solve our energy problems over time, “by switching to getting our energy from windmills, solar and biofuels.” No crap. That’s what he said. I almost wrecked the car against a bridge abutment as I listened to that comment.

On the other side, McCain doesn’t want to drill in ANWR because “ANWR is a national treasure like the Grand Canyon.” No crap, that’s what he said. Huh? I’ve been to ANWR and ANWR is no Grand Canyon.

We be doomed…

Really, could the Demos & Repubs have nominated two more energy-illiterate candidates?

Problem is that Big Politics treats energy like “just another issue.” As in, Are you for abortion or against it? For gun control or against it? For estate taxes or against them?

From the “energy” standpoint, you have the faux-environmental movement that says we are doing “the earth” a favor by not developing resources. It’s an issue, and on that issue they vote for Demos or not. (Never vote for a Repub, which makes McCain’s position all the more curious.) It’s just an article of faith within the enviro movement to oppose development. Oppose Uber Alles.

And whenever someone does propose development, that’s called a “fund raising opportunity” for enviros. They put out “oil spill & dying seal” brochures that make a lot of advertisements look tame by comparison.

But the no-grow thinking is premised on the assumption that the US dollar is still supreme. As a nation, we need something with which to “buy it” if we don’t produce it at home. That is, if there are still people who want to sell it to us.

I’d like to put it in terms the enviros can understand. Indeed, I’ve often wondered how the most ardent environmentalists think that without oil & refineries, the airlines can somehow buy the jet fuel it takes to fly from LAX to JFK for the weekend trip to the Big Apple. Really, flight requires jet fuel… Do the enviros really get that?

Until we meet again,

Byron King

Note: Byron King is a frequent contributor to the free e-letter Whiskey & Gunpowder. To receive daily insights into energy, oil, commodities and other natural resources sign up here!

Additional Resources:
Russian Oil… Under Serious Constraints
Russia… Energy Priority #1
Congress Beats Up On Oil Execs…
The Coal To Liquid Debate Part I
Russia Has Peaked… Oil Decline In Siberia
The U.S. Oil Supply — A Look At Our Future Oil Needs
Less Oil From Mexico