FOOD Report food & grocery shortages / price increases here: 2022 Edition
- Status
nomifyle
TB Fanatic
There were many children that thrived on this formula, could possibly be healthier than the crap that passes as formula today.
Melodi
Disaster Cat
Welcome to the new modern face of rationing, at least for now. This article is from the UK Daily mail and is talking about grocery stores in the United Kingdom, but I expect this practice to be in full swing in both the US and North America within the next two weeks. Eventually, governments will probably get involved in the rationing process, first by ordering stores to limit customers instead of just the stores doing it on their own, followed by a modern version of ration cards.
*Note that ALL TYPES OF COOKING OIL are being rationed, not just sunflower oil...that is a huge red flag.
www.dailymail.co.uk
Now Waitrose rations cooking oil to two bottles per customer as sunflower oil shortage deepens due to Ukraine war
Waitrose has rationed the sale of cooking oils to just two per customer
The supply of sunflower oil has been severely hit by the war in Ukraine
Ukraine accounts for about 80 per cent of the UK's sunflower oil imports
Many staple products will be made with alternatives such as rapeseed oil
Britain has been warned it has only a few weeks' supply of sunflower oil left
By WALTER FINCH FOR MAILONLINE
PUBLISHED: 19:19, 8 April 2022 | UPDATED: 20:00, 8 April 2022
British supermarket Waitrose has started to ration the amount of cooking oil customers can buy as the sunflower oil shortage deepens due to the war in Ukraine.
Signs have been put on shelves limiting customers to just two bottles across all cooking oils in Waitrose shops and online from today as supermarkets scramble for alternatives.
The shortage comes as the war in the east hits the production of sunflower oil, with Ukraine, dubbed the 'breadbasket of Europe', accounting for about 80 per cent of the UK's imports.
A Waitrose statement said: 'We want to ensure customers continue to have a choice of cooking oil so we are asking them to buy no more than two units each.'
'To help more customers get the goods they need you can only order two from the sunflower oil category.'
Waitrose have taken to rationing the sale of cooking oils to no more than two bottles per customer, after the war in Ukraine hit global supplies
+8
View gallery
Waitrose have taken to rationing the sale of cooking oils to no more than two bottles per customer, after the war in Ukraine hit global supplies
Sainsury's have put signs up in their shops today advising customers that some products may substitute sunflower oil with rapeseed oil most likely
+8
View gallery
Sainsury's have put signs up in their shops today advising customers that some products may substitute sunflower oil with rapeseed oil most likely
The UK is reported to weeks away from a shortage of sunflower oil due the Russian invasion of Ukraine
+8
View gallery
The UK is reported to weeks away from a shortage of sunflower oil due the Russian invasion of Ukraine
RELATED ARTICLES
Previous
1
Next
Crunch time? Fears crisps could run out as supermarket...
Fruit and veg faces 30% price rise in latest cost of living...
SHARE THIS ARTICLE
Share
Sainsbury's has said it will be substituting products where sunflower oil is a main ingredient with alternatives.
'We are working closely with our suppliers to make sure customers continue to have cooking oils to choose from, including olive oil, vegetable oil and rapeseed oil,' a Sainbury's spokesperson said.
The UK gets about 80% of it's sunflower oil from Ukraine (above). Products containing sunflower oil include crisps, mayonnaise, bread, and biscuits.
+8
View gallery
The UK gets about 80% of it's sunflower oil from Ukraine (above). Products containing sunflower oil include crisps, mayonnaise, bread, and biscuits.
Ukraine is one of the leading producers of sunflower oil, but the war has disrupted production, with famers unable to work fields and supply chains unable to get the product to global markets
+8
View gallery
Ukraine is one of the leading producers of sunflower oil, but the war has disrupted production, with famers unable to work fields and supply chains unable to get the product to global markets
It comes as the UK's biggest cooking oil bottler, Edible Oils, last week warned that Britain had only a few weeks' supply of sunflower oil left.
Supermarket crisp shelves have been pictured almost bare as panic buying has set in.
Pictures at Tesco and Asda stores in Cambridge yesterday showed empty crisp shelves.
PepsiCo, the manufacturer of Walkers, has confirmed it is 'temporarily' switching from sunflower to rapeseed oil in the production of its crisps - insisting customers will not be able to taste any difference.
Other products containing sunflower oil include mayonnaise, bread, and biscuits.
Around 80 per cent of the global supply of sunflower oil comes from Ukraine and Russia, but the ongoing conflict has disrupted supply
+8
View gallery
Around 80 per cent of the global supply of sunflower oil comes from Ukraine and Russia, but the ongoing conflict has disrupted supply
Bare shelves in the crisps aisle of a Tesco in Cambridge earlier this week amid a shortage of sunflower oil
+8
View gallery
Bare shelves in the crisps aisle of a Tesco in Cambridge earlier this week amid a shortage of sunflower oil
Food manufacturers have been left searching for alternative ingredients to negate the current shortage. Pictured: A Tesco supermarket in Cambridge
+8
View gallery
Food manufacturers have been left searching for alternative ingredients to negate the current shortage. Pictured: A Tesco supermarket in Cambridge
The Co-op said this week that it was working closely with suppliers to find alternatives such as rapeseed oil.
Prices of rapeseed oil have already risen '50 per cent to 70 per cent' in recent weeks, with businesses likely having to pass the price onto consumers if a downturn does not arrive soon.
Kim Matthews, commercial director at Edible Oils, told the BBC last week: 'At the moment, Ukrainian farmers should be sowing the seeds now for the harvest in October and November.
'Clearly that's not going to happen…. we're probably going to miss the season so we could be impacted for 12-18 months.'
He said it is unclear as to when supply will return to normal, pre-war levels.
*Note that ALL TYPES OF COOKING OIL are being rationed, not just sunflower oil...that is a huge red flag.
Waitrose rations cooking oil to two bottles due to Ukraine war
Signs have been put on shelves limiting customers to just two bottles across all cooking oils in Waitrose shops and online countrywide from today.
Now Waitrose rations cooking oil to two bottles per customer as sunflower oil shortage deepens due to Ukraine war
Waitrose has rationed the sale of cooking oils to just two per customer
The supply of sunflower oil has been severely hit by the war in Ukraine
Ukraine accounts for about 80 per cent of the UK's sunflower oil imports
Many staple products will be made with alternatives such as rapeseed oil
Britain has been warned it has only a few weeks' supply of sunflower oil left
By WALTER FINCH FOR MAILONLINE
PUBLISHED: 19:19, 8 April 2022 | UPDATED: 20:00, 8 April 2022
British supermarket Waitrose has started to ration the amount of cooking oil customers can buy as the sunflower oil shortage deepens due to the war in Ukraine.
Signs have been put on shelves limiting customers to just two bottles across all cooking oils in Waitrose shops and online from today as supermarkets scramble for alternatives.
The shortage comes as the war in the east hits the production of sunflower oil, with Ukraine, dubbed the 'breadbasket of Europe', accounting for about 80 per cent of the UK's imports.
A Waitrose statement said: 'We want to ensure customers continue to have a choice of cooking oil so we are asking them to buy no more than two units each.'
'To help more customers get the goods they need you can only order two from the sunflower oil category.'
Waitrose have taken to rationing the sale of cooking oils to no more than two bottles per customer, after the war in Ukraine hit global supplies
+8
View gallery
Waitrose have taken to rationing the sale of cooking oils to no more than two bottles per customer, after the war in Ukraine hit global supplies
Sainsury's have put signs up in their shops today advising customers that some products may substitute sunflower oil with rapeseed oil most likely
+8
View gallery
Sainsury's have put signs up in their shops today advising customers that some products may substitute sunflower oil with rapeseed oil most likely
The UK is reported to weeks away from a shortage of sunflower oil due the Russian invasion of Ukraine
+8
View gallery
The UK is reported to weeks away from a shortage of sunflower oil due the Russian invasion of Ukraine
RELATED ARTICLES
Previous
1
Next
Crunch time? Fears crisps could run out as supermarket...
Fruit and veg faces 30% price rise in latest cost of living...
SHARE THIS ARTICLE
Share
Sainsbury's has said it will be substituting products where sunflower oil is a main ingredient with alternatives.
'We are working closely with our suppliers to make sure customers continue to have cooking oils to choose from, including olive oil, vegetable oil and rapeseed oil,' a Sainbury's spokesperson said.
The UK gets about 80% of it's sunflower oil from Ukraine (above). Products containing sunflower oil include crisps, mayonnaise, bread, and biscuits.
+8
View gallery
The UK gets about 80% of it's sunflower oil from Ukraine (above). Products containing sunflower oil include crisps, mayonnaise, bread, and biscuits.
Ukraine is one of the leading producers of sunflower oil, but the war has disrupted production, with famers unable to work fields and supply chains unable to get the product to global markets
+8
View gallery
Ukraine is one of the leading producers of sunflower oil, but the war has disrupted production, with famers unable to work fields and supply chains unable to get the product to global markets
It comes as the UK's biggest cooking oil bottler, Edible Oils, last week warned that Britain had only a few weeks' supply of sunflower oil left.
Supermarket crisp shelves have been pictured almost bare as panic buying has set in.
Pictures at Tesco and Asda stores in Cambridge yesterday showed empty crisp shelves.
PepsiCo, the manufacturer of Walkers, has confirmed it is 'temporarily' switching from sunflower to rapeseed oil in the production of its crisps - insisting customers will not be able to taste any difference.
Other products containing sunflower oil include mayonnaise, bread, and biscuits.
Around 80 per cent of the global supply of sunflower oil comes from Ukraine and Russia, but the ongoing conflict has disrupted supply
+8
View gallery
Around 80 per cent of the global supply of sunflower oil comes from Ukraine and Russia, but the ongoing conflict has disrupted supply
Bare shelves in the crisps aisle of a Tesco in Cambridge earlier this week amid a shortage of sunflower oil
+8
View gallery
Bare shelves in the crisps aisle of a Tesco in Cambridge earlier this week amid a shortage of sunflower oil
Food manufacturers have been left searching for alternative ingredients to negate the current shortage. Pictured: A Tesco supermarket in Cambridge
+8
View gallery
Food manufacturers have been left searching for alternative ingredients to negate the current shortage. Pictured: A Tesco supermarket in Cambridge
The Co-op said this week that it was working closely with suppliers to find alternatives such as rapeseed oil.
Prices of rapeseed oil have already risen '50 per cent to 70 per cent' in recent weeks, with businesses likely having to pass the price onto consumers if a downturn does not arrive soon.
Kim Matthews, commercial director at Edible Oils, told the BBC last week: 'At the moment, Ukrainian farmers should be sowing the seeds now for the harvest in October and November.
'Clearly that's not going to happen…. we're probably going to miss the season so we could be impacted for 12-18 months.'
He said it is unclear as to when supply will return to normal, pre-war levels.
alpha
Veteran Member
Ice Age Farmer
Walgreens starts RATIONING baby formula as supply chain crunch hits new parents: 29% of the top-selling formulas are out of stock at stores across the US
Walgreens starts RATIONING baby formula as supply chain crunch hits new parents: 29% of the top-selling formulas are out of stock at stores across the US
Funny I was just looking at goats for sale on Craigs list as a solution to our weed problem. Chivos Lechunas milk goats anywhere from 150 to 1800 dollars.
Not bad for 3 people. Around here that would cost around 60 at the good restaurants.
Melodi
Disaster Cat
Housemate reports a show on RTE (Irish National Broadcaster) suggesting how wonderful and much cheaper it is to "grind your own grain."
Of course, this ignores a few local facts like:
1. They do not sell grain in small packages here
2. Most kitchens are tiny, there is no place to store 25 kilos of grain
3. Most people can not afford a proper grain mill and even when they can, there is no place to store it.
She also said that the BBC while not talking about oil rationing directly, had a presentation on how "cooking with oil alternatives may be healthier for you!"
England is still very "class" oriented in their propaganda (which makes them easier to read sometimes) so while the UK Daily Mail is screaming "rationing," the BBC purports that not using cooking oils is healthier anyway.
Housemate also reports that shopping this morning that many products had gone up 20 percent over last week, with butter and cooking oil increasing somewhat more than that. There was no limit on cooking oils out here in rural Ireland yet though, or at least she didn't see any.
Of course, this ignores a few local facts like:
1. They do not sell grain in small packages here
2. Most kitchens are tiny, there is no place to store 25 kilos of grain
3. Most people can not afford a proper grain mill and even when they can, there is no place to store it.
She also said that the BBC while not talking about oil rationing directly, had a presentation on how "cooking with oil alternatives may be healthier for you!"
England is still very "class" oriented in their propaganda (which makes them easier to read sometimes) so while the UK Daily Mail is screaming "rationing," the BBC purports that not using cooking oils is healthier anyway.
Housemate also reports that shopping this morning that many products had gone up 20 percent over last week, with butter and cooking oil increasing somewhat more than that. There was no limit on cooking oils out here in rural Ireland yet though, or at least she didn't see any.
33dInd
Veteran Member
just a hamburger joint Nothing special hole in the wall. But two years ago that would have been around $25 bucks.
eens
Nuns with Guns
I don't see why not. If I had a goat I would.
nomifyle
TB Fanatic
Rationing cooking oils are no problem for us, we don't buy them any way and can do without those four products, we rarely use them
If you have goats you have to have strong fences. We have ten goats again, one nannie just had a beautiful baby boy. When we got the first two the nannie was lactating so DH milked her, problem was we just didn't use the milk, so he stopped.
We used powdered goats milk for the youngest, we made our own formula that we got from Adele Davis's "Lets Have Heathy Children". He's a big strong healthy man.
coloradohermit
Veteran Member
It's probably sugar beet sourced rather than sugar cane sourced.
energy_wave
Has No Life - Lives on TB
The Dollar General in my area hasn't had catnip in months and the paper plate aisle is almost bare. I feed my cats on cheap disposable paper plates. Saves a lot of work and they burn to provide heat.
Tex88
Veteran Member
Our cats would murder us in our sleep if we had the audacity to try and feed them from paper plates.
packyderms_wife
Neither here nor there.
Was just at Sams. Six pack chicken breast in cans is now $22. Not a piece of raw chicken to be had, there was a limit of two. They’re selling lamb and goat now. Got the last rotisserie chicken, still $5. Will report on Aldi later. central iowa
Last edited:
Waiting2go
Contributing Member
Holey Moley....Sam's canned chicken $22??????? I immediately checked Sam's online for my store and it's still $15.98.....wonder for how long though......and still higher than I want to pay. I still have decent supply from when it was $9.98 approx. Today I picked up 4 rotisserie chickens for Walmart in cold section marked down to $3 with best by date 4/11. I cut them up, put them in several freezer baggies and put in freezer. Thinking I am going to have to start doing this....with the current situation with chicken. This is getting beyond ridiculous!
aviax2
Veteran Member
Oh my stars! It went up at the Sam’s we shop at Jackson TN from $9.98 to $15.98 recently, that was bad enough.
Marseydoats
Veteran Member
My cats are "clean plater's" so I re-use their plates several times before they get burnt in the winter.
packyderms_wife
Neither here nor there.
Report from Aldi and Fareway.
Aldi had boneless skinless chicken breasts for $3.49 a pound, they were very small packages, he bought me two. No hams what so ever.
Fareway had chicken legs for 88 cents a pound, I bought two pounds for buffalo style chicken. Wings are $4.99 a pound. They were out of chicken hind quarters, which are on sale for 88 cents a pound, will try to get some Monday morning. They had plenty of hams at $2.99 a pound. Everything else was in stock except for my Olive Oil based mayo. Bought two bags of green beans and some asparagus, both looked really, really good.
Beef prices are up by about 30%.
I bought a piece of pre-cooked turkey breast at Sam's Club for a good price, I'll run it through the meat slicer tomorrow and then vacuum seal most of it for cold cuts and that stuffed turkey breast dish we like. You take slices of turkey breast, fill it with stuffing, roll up, put into a greased 9x9 pan and then top with gravy, bake for about 30 minutes until the gravy is good and bubbly, it's sooooo good. You could use mashed potatoes or mashed butternut squash instead.
Aldi had boneless skinless chicken breasts for $3.49 a pound, they were very small packages, he bought me two. No hams what so ever.
Fareway had chicken legs for 88 cents a pound, I bought two pounds for buffalo style chicken. Wings are $4.99 a pound. They were out of chicken hind quarters, which are on sale for 88 cents a pound, will try to get some Monday morning. They had plenty of hams at $2.99 a pound. Everything else was in stock except for my Olive Oil based mayo. Bought two bags of green beans and some asparagus, both looked really, really good.
Beef prices are up by about 30%.
I bought a piece of pre-cooked turkey breast at Sam's Club for a good price, I'll run it through the meat slicer tomorrow and then vacuum seal most of it for cold cuts and that stuffed turkey breast dish we like. You take slices of turkey breast, fill it with stuffing, roll up, put into a greased 9x9 pan and then top with gravy, bake for about 30 minutes until the gravy is good and bubbly, it's sooooo good. You could use mashed potatoes or mashed butternut squash instead.
packyderms_wife
Neither here nor there.
I didn't think to check online, they were changing prices on the shelves while customers were shopping. I noticed one of my favorite cheap bourbons when up a dollar, again.
There was a long line to get rotisserie chickens at Sam's Club, the guy had just pulled 30 out of the cooker and poof they were gone! I got one of the last two, and I'm pretty sure the lady that got the other one was wanting two, not one. Oh well too bad. I'm surprised they haven't put limits on the rotisserie chickens, yet.
SouthernBreeze
Has No Life - Lives on TB
Here in Tupelo, MS, 2 weeks ago it had gone up from $9.98 to $15.98. I was planning to buy more next week to add to my stock. Not if it's gone up that much! I'll make do with what I already have. Gosh! $22, uhm NO.
Waiting2go
Contributing Member
Yes I'm surprised they haven't put limits on rotisserie chickens yet too.......I'm sure it's coming. I'm still really mad at Walmart for discontinuing their garlic rotisserie chickens.......those were my favorite and the ones I always bought. I totally loved them. Been buying the lemon pepper ones now......they used to be more flavorful than they are now though. Sam's rotisserie chickens used to have a great flavor, but not so much at my store now. In fact, nothing taste as good as it used too.
Heard an interesting bit on farm radio yesterday. The reason for shortage/expense of animal feed is not a shortage of grain rather a shortage of rail shipping cars. A co-op will order "X" number of cars but will only get "N". I didn't hear the whole report because I was in the car and the wind was blowing 30 mph so hard to hear anything.
Ordinary Girl
Veteran Member
Went to BJ’s and Harris Teeter today, got a Smithfield boneless spiral cut ham it was $3.69 a pound :-( but HT had porter house steaks on sale for $7 a pound so I got 10 pounds. I separate the filet from the strip and vacuum seal it and freeze it. BJ’s had beef tenderloin for $14.99 for a whole piece so I got one of those for Easter which is a big family thing for us and everyone chips in $. There was no chicken to be had except drumsticks. This is on the Eastern shore of Maryland
aviax2
Veteran Member
I know what you mean! I just added 2 of the 6 pack cans about 2 weeks ago. I was really surprised at the price jump then but decided to get it anyway, I wouldn’t have if it had been $22.00!!!
SouthernBreeze
Has No Life - Lives on TB
I did the same two weeks ago at $15.98. I bought 2, 6 can packs. I just can't justify spending the $22 now, though. I've got a really good stock, so I can afford to wait.
phloydius
Veteran Member
Not suggesting that this is guaranteed, but consider the possibility that $22.00 for them may be the cheapest price you'll ever see again, and would look like a bargain if they get to $148. A lot of it depends on if you think this is a temporary supply/demand issue bringing the prices down in the future; or if you think that it is monetary inflation and the price will never be this low again even if inflation returns to 0%-2%.
packyderms_wife
Neither here nor there.
5.5 million birds were euthanized in Iowa yesterday, I think the total number euthanized now is close to 29 million and 5his is only in the state of Iowa! This would be hatchery birds, egg layers, and meat birds!
I’ll be canning chicken this week, and I may pick up a lug of green beans from Fareway on Monday, the beans looked really good and there’s no guarantee of a crop this year. Slugs got my bean crop last year, they literally ate bushels of beans/plants overnight.
Oh and the price of booze is up so if you haven’t laid in a stash might want to start thinking about doing so.
Marseydoats
Veteran Member
My neighbor found out years ago that the Blue Seal chicken scratch, which now costs about $22 for 50 pounds, is actually more economical than the cheaper feed. They don't need as much of it and they produce more, and larger, eggs.
Of course, YMMV...
dstraito
TB Fanatic
My average bill at HEB has gone from $100 a week to $150. And I usually can not find several items in stock.
I was shocked by my first trip to Lowes in many months. Many brand names were not available that I was used to and the quality was crap. They only had two corded weed eaters, both by Craftsman. The rest were battery or gas.
Their gloves were not worth buying with bad quality and high prices.
I was shocked by my first trip to Lowes in many months. Many brand names were not available that I was used to and the quality was crap. They only had two corded weed eaters, both by Craftsman. The rest were battery or gas.
Their gloves were not worth buying with bad quality and high prices.
parsonswife
Veteran Member
I expect the cost of potatoe chips to dramatically increase this summer fall do to UKR war
Hit to Ukrainian sunflower means US cooking oil price spike
Russia’sinvasion of Ukrainehas sown chaos across the country,shuttering factoriesand slashing farm production in what has been dubbed the “breadbasket of Europe.” While Ukraine produces millions of tons of wheat, barley, and corn each year, it also accounts for nearly half of the global supply of sunflower oil.
Sunflower oil has become a major cooking oil that is valued for its mild flavor and health benefits. Because of the war-induced shortages, companies have had to turn to other vegetable oils, such as those derived from olives and soybeans.
The price of sunflower oil has skyrocketed 44% over the past year, according to theWall Street Journal, whichciteddata from Mintec Ltd. Palm oil has increased by 61%, and soybean oil is up 41%, all hitting record highs. Olive oil has lurched upward by 15%.
INFLATION KILLING OFF FAMOUS NEW YORK CITY $1 PIZZA SLICES
John Sandbakken is the executive director of the National Sunflower Association, which is the trade association for all of the sunflower growers in the United States and the affiliated companies that use those products.
Sandbakken said that most of Ukraine’s sunflower oil flows into the European Union and countries such as India and China, but he noted that anytime the volume of global oil decreases anywhere in the world, an alternative supply is needed.
“It’s something that’s going to affect the vegetable oil market all over the world,” he told theWashington Examinerafter the outset of the war. “You’re displacing that much oil from the market that people need, so it’s something that will affect all oils … eventually, it will affect everybody in the world to some extent.”
For example, if a French oil buyer can no longer access its usual orders of oil from Ukraine, the buyer will turn to a different supplier, perhaps one in the U.S. That shift in sourcing has had a ripple effect that is driving the higher prices and oil shortages across the globe.
“Everybody is going to be competing to get that oil,” Sandbakken said. “Whether that be palm oil, soy oil, canola, or sun, or whatever type of oil it is, everyone will be competing for vegetable oil.”
Brian Marks, executive director of the University of New Haven's Entrepreneurship and Innovation Program, said that the COVID-19 pandemic drove home just how interconnected the world is.
When the pandemic frayed supply chains and people were left waiting for shipments for weeks, it was proof of just how globalized the world economy has become. He said that the war in Ukraine and how it affects products as diverse as vegetable oil further drives home that point.
“This Ukrainian crisis, the Russian invasion, has further put a stamp on showing how interconnected we are from an economic standpoint,” Marks told theWashington Examiner. “If we didn’t learn it once, or if we needed reinforcement, this crisis is certainly demonstrating it, and it is having a cascading effect throughout the economy.”
The massive price increases for vegetable oils are further fanning the flames of theinflationary fire. Consumer pricesincreased 7.9%for the 12 months ending in February, the fastest pace in decades, and food prices have risen in tandem. Because oil is an input for so many foods, food prices will inevitably be pushed higher by Ukraine’s absent sunflower oil production.
The effects on oil prices are being felt 5,000 miles away, in the nation’s capital.
Salvador Khadra is the director of operations for Pizza Boli’s, a Maryland-based franchise with locations in several mid-Atlantic states. He said that the price increases for cooking oils have affected the company’s sauces, dressings, dough, and more.
Khadra told theWashington Examinerthat he doesn’t expect oil prices to tamp back down soon and predicted that it could get even more costly over the coming months.
Nor is production likely to ramp up outside Ukraine fast enough to make up for the shortfalls.
Marks said that there might be some hesitancy to overload production of other oils given that there is no clear sign of when the war could come to a close. If it were to end soon, investing in supercharged production could fall flat.
As a historical example, he pointed out that during the U.S. Civil War, cotton production in the Southern states was broadly hampered. In response, there was a huge push to expand production in Egypt.
The Egyptian government borrowed money to expand that production, and at the end of the Civil War, U.S. production came back online and drove cotton prices down, and the Egyptian government couldn’t meet that debt service, Marks said.
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
“I think given the lessons learned, businesses will be hesitant to go all-in and expand production. So, we’ll see a slow movement because, as anything, if the exogenous shock such as the war ends, one would expect to the extent possible that production to come back online rather rapidly,” Marks said.
Hit to Ukrainian sunflower means US cooking oil price spike
Russia’sinvasion of Ukrainehas sown chaos across the country,shuttering factoriesand slashing farm production in what has been dubbed the “breadbasket of Europe.” While Ukraine produces millions of tons of wheat, barley, and corn each year, it also accounts for nearly half of the global supply of sunflower oil.
Sunflower oil has become a major cooking oil that is valued for its mild flavor and health benefits. Because of the war-induced shortages, companies have had to turn to other vegetable oils, such as those derived from olives and soybeans.
The price of sunflower oil has skyrocketed 44% over the past year, according to theWall Street Journal, whichciteddata from Mintec Ltd. Palm oil has increased by 61%, and soybean oil is up 41%, all hitting record highs. Olive oil has lurched upward by 15%.
INFLATION KILLING OFF FAMOUS NEW YORK CITY $1 PIZZA SLICES
John Sandbakken is the executive director of the National Sunflower Association, which is the trade association for all of the sunflower growers in the United States and the affiliated companies that use those products.
Sandbakken said that most of Ukraine’s sunflower oil flows into the European Union and countries such as India and China, but he noted that anytime the volume of global oil decreases anywhere in the world, an alternative supply is needed.
“It’s something that’s going to affect the vegetable oil market all over the world,” he told theWashington Examinerafter the outset of the war. “You’re displacing that much oil from the market that people need, so it’s something that will affect all oils … eventually, it will affect everybody in the world to some extent.”
For example, if a French oil buyer can no longer access its usual orders of oil from Ukraine, the buyer will turn to a different supplier, perhaps one in the U.S. That shift in sourcing has had a ripple effect that is driving the higher prices and oil shortages across the globe.
“Everybody is going to be competing to get that oil,” Sandbakken said. “Whether that be palm oil, soy oil, canola, or sun, or whatever type of oil it is, everyone will be competing for vegetable oil.”
Brian Marks, executive director of the University of New Haven's Entrepreneurship and Innovation Program, said that the COVID-19 pandemic drove home just how interconnected the world is.
When the pandemic frayed supply chains and people were left waiting for shipments for weeks, it was proof of just how globalized the world economy has become. He said that the war in Ukraine and how it affects products as diverse as vegetable oil further drives home that point.
“This Ukrainian crisis, the Russian invasion, has further put a stamp on showing how interconnected we are from an economic standpoint,” Marks told theWashington Examiner. “If we didn’t learn it once, or if we needed reinforcement, this crisis is certainly demonstrating it, and it is having a cascading effect throughout the economy.”
The massive price increases for vegetable oils are further fanning the flames of theinflationary fire. Consumer pricesincreased 7.9%for the 12 months ending in February, the fastest pace in decades, and food prices have risen in tandem. Because oil is an input for so many foods, food prices will inevitably be pushed higher by Ukraine’s absent sunflower oil production.
The effects on oil prices are being felt 5,000 miles away, in the nation’s capital.
Salvador Khadra is the director of operations for Pizza Boli’s, a Maryland-based franchise with locations in several mid-Atlantic states. He said that the price increases for cooking oils have affected the company’s sauces, dressings, dough, and more.
Khadra told theWashington Examinerthat he doesn’t expect oil prices to tamp back down soon and predicted that it could get even more costly over the coming months.
Nor is production likely to ramp up outside Ukraine fast enough to make up for the shortfalls.
Marks said that there might be some hesitancy to overload production of other oils given that there is no clear sign of when the war could come to a close. If it were to end soon, investing in supercharged production could fall flat.
As a historical example, he pointed out that during the U.S. Civil War, cotton production in the Southern states was broadly hampered. In response, there was a huge push to expand production in Egypt.
The Egyptian government borrowed money to expand that production, and at the end of the Civil War, U.S. production came back online and drove cotton prices down, and the Egyptian government couldn’t meet that debt service, Marks said.
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
“I think given the lessons learned, businesses will be hesitant to go all-in and expand production. So, we’ll see a slow movement because, as anything, if the exogenous shock such as the war ends, one would expect to the extent possible that production to come back online rather rapidly,” Marks said.
MSN
www.msn.com
packyderms_wife
Neither here nor there.
Majority of potato chips in the AuScare deep fat fried in soy bean oil.
parsonswife
Veteran Member
Lays and FRITO lay moved to Sunflower oil in 2006 I was told
bev
Has No Life - Lives on TB
When my DS was born (1976), he nursed for a few months and then needed to go on formula. Didn’t tolerate any of it, so I switched to a formula I made with evaporated milk and Karo syrup. Can’t remember the recipe but he tolerated it well. Recommended by the pediatrician.
annieosage
Inactive
I just checked Smiths in my app and the 6/10oz pack of chicken has gone from $7.99 to $12.99.
The 2 pack chicken breast which had already gone from $3 something to $5.57 is now $6.65.
I was so upset having to give up most of my preps when I moved. The kids have a pretty good stock though. When we go shopping I just add more LOL. Next week Costco trip. We’ve pretty much agreed to split the grocery trips 50/50. This time they might need something I don’t and next time vice versa. SIL does most of the cooking as he is an excellent cook and during the week I don’t have a lot of time. Tonight is on me though!
The 2 pack chicken breast which had already gone from $3 something to $5.57 is now $6.65.
I was so upset having to give up most of my preps when I moved. The kids have a pretty good stock though. When we go shopping I just add more LOL. Next week Costco trip. We’ve pretty much agreed to split the grocery trips 50/50. This time they might need something I don’t and next time vice versa. SIL does most of the cooking as he is an excellent cook and during the week I don’t have a lot of time. Tonight is on me though!
- Status