Worst US drought driving up food prices globally

It is not just India that is facing deficient rainfall. More than half of the United States is now hit by a moderate-to-extreme drought, its worst in decades, paring output of two key crops – corn and soyabean.

Prices of these two commodities have begun to spiral, driving up palm oil, meat, wheat, and dairy products globally. Corn is used widely, from feed for livestock to producing ethanol for fuel blending. A look how dry conditions are impacting food prices.






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Will hurt China’s plan to raise corn imports by 40%. Besides, Beijing is world’s No.1 soya importer.

Brazil 2012-13 soya output could surpass that of US.