Newspaper article from our research archive:

Higher grain demand helps increase food prices.

Byline: Marv Balousek

Jun. 17--Food prices are higher than a year ago, but the reason may be more complicated than grain diverted to ethanol production. Tim Metcalfe, owner of Sentry Foods Hilldale, 726 N. Midvale Blvd., said vendors have told him that ethanol production has increased demand for grain, boosting prices of meat derived from grain-fed animals.

However, rising energy costs have had a more significant impact on consumer food prices than corn diverted to ethanol production, according to a recent analysis by John Urbanchuk of LECG, an Emeryville, Calif., consulting firm. The analysis found that a 33 percent rise in crude oil increases food prices by 0.6 ...

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