More food price increases on the way..

i saw on the news (friday?) night they are saying because the price of fuel has gone up, supermarkets are warning customers to expect the price of food to increase...:rolleyes: as I am sure they will follow through regardless of whether your purchases are plastic wrapped or not...

I have trolled this site over the last couple of days, and I know bigger events are headlining the news, but isn't anyone else concerned? Who knew that unleaded would increase to $2.14 over the last couple of weeks?

It stands ot reason that food prices will rise now. gotta go get some food inthe garden.

I'm very concerned swaggie...not only has the earthquake in Chch stopped my venturing in there, but the price of running my car has to...not to mention the fact that if I do actually afford to get there, I then have hardly any money to spend on the things I need.

I do actually wonder though whether the fuel prices will help out the little communities a bit because people will think twice before jumping in their cars and driving to the city?

Times are definitely getting much much tougher

Well you have to wonder how the Government gets away with a tax (GST) on a tax? The Government has also canned roading projects to help Christchurch and yet the tax we pay on fuel is meant to go into roading. Don't get me wrong guys - Christchurch is covered (to the best of my knowledge) from already put aside money in the Government coffers AND all Insurance Companies carry insurance to insure themselves.

The only people who will hurt financially (do not take this the wrong way Christchurch people as I like all am solidly behind you!) is the escuse to raise insurance rates for all of New Zealand. Yet - how many will now cancel their insurance as they can't afford it or for ChCh people will not be able to get cover?

I also believed that our crude oil comes from Malaysia and is refined at Marsden Point so this whole Libya crisis issue sounds like a very good escuse for more screwing of the NZ public.

I always get so dismayed when reading answers on talk back programs when you read "well get on your bike or public transport and stop moaning" comments. Are our city folk really that ignorant that they don't factor the cost of producing their food, transport to market let alone all the rural areas with no public transport. Shaking head.

I'm assuming that the drop by the Reserve Bank Governor is soley in the interest of export business as it makes a mockery of two years indoctrination to save - let alone buy local! Now they want us to spend. Jeez. What happened to investigative journalism?

DiDi;360947 wrote:
I also believed that our crude oil comes from Malaysia and is refined at Marsden Point so this whole Libya crisis issue sounds like a very good escuse for more screwing of the NZ public.

International markets, a much maligned subject, but quite true... so say Libya stops pumping oil and Italy starts running dry... they go to the Saudis and start paying more than India does for oil, and instead of Saudi oil shipping east to India, it heads northwest instead, India grumbles and looks at Malaysia and ups what their payments and Malaysian oil starts flowing west instead of southeast to here. So we either have to suck up and pay more money for oil or Malaysia sends what we were buying to India for more rupees than what we were willing to offer in dollars.

In perspective, would you sell your sheep to Alliance for $4.50 when SFF is offering $4.90 for the same grade? Why should the Malaysians, or other oil producers, sell at less than what other former Libyan customers are offering to buy at now.

Sure there are probably a few boatloads around filled and shipped at the old prices, and some fixed price futures contracts still holding at past prices, but new contracts and casual tanker loads will be at a higher price until things are stable again.

Food isn't the only thing that will rise in price as fuel costs soar. Anything that travels during its production, distribution and sale will be effected, and a double whammy if the product or its packaging is oil derived such as plastics. This isn't anything unexpected and it ain't going to go away - it's the reality of Peak Oil

My understanding though is there are huge capped resources within ''our'' region for our region not to rely on what happens further overseas, and those who own those resources are sitting on them as very long term prospects.

At what point do we stop corporations from hurting our people? (I don't mean that people shouldn't use their cars less, but prices are getting silly.)

swaggie;361074 wrote: My understanding though is there are huge capped resources within ''our'' region for our region not to rely on what happens further overseas, and those who own those resources are sitting on them as very long term prospects.

At what point do we stop corporations from hurting our people? (I don't mean that people shouldn't use their cars less, but prices are getting silly.)

More accurately many of the 'capped resources' will be expensive to develop so the licence holders are waiting for oil prices to rise far enough to make them viable. When they are developed those countries with the needs and the economic ability will make short work of the reserves, and then the prices will make current levels look like a bargain :rolleyes:

Organix;361099 wrote: More accurately many of the 'capped resources' will be expensive to develop so the licence holders are waiting for oil prices to rise far enough to make them viable. When they are developed those countries with the needs and the economic ability will make short work of the reserves, and then the prices will make current levels look like a bargain :rolleyes:

No the cost isn't prohibitive from what I am hearing from those working in the industry at fairly highly educated levels.

Gotta grin at oilfield gossip

Interesting item on news the other night about fuel price rises. They blame it on more fund managers/investment outfits now playing the oil field (no pun intended [}]) so that its being used more as a speculative market rather than a producer to processor market.

At least I think that is what they meant...my hearing grows dim and my senses atrophy when I hear the words 'stockmarket' and 'investments'...

This article looks at general issues www.foxbusiness.com/markets/2011/03/10/r...-speculation-debate/ and probably puts it the most succinctly...

Organix;361113 wrote: Gotta grin at oilfield gossip

so does it make it less believable because I haven't quoted an article you can argue with?

swaggie;361256 wrote: so does it make it less believable because I haven't quoted an article you can argue with?

I've spent enough time offshore swapping lies with co-workers to know how little fact there is behind a lot of the smoking shed 'facts' []

Organix why attack others statments and back it up by your misdeeds??

To go back to the original thread - we are relatively insulated against prices as we tend to buy very little at the supermarket, but I was talking to my eldest daughter and she was saying that it seems as though bread goes up everytime she goes to the supermarket! All my children say that buying food is very very expensive, especially meat and cheese.