Ethanol demand pushes corn prices up.

True lovers of organic food have always been willing to pay more for it. They spend $3.99 on a half gallon of organic milk when a whole gallon of conventional milk costs $1 less. But that devotion may be tested. The forces that have driven grocery prices up sharply over the past year, growing demand for food in China and a global biofuels boom, have had an impact on the organic food markets as well. Meanwhile, U.S. farmers haven't kept pace with demand for organic food, sales of which shot up 21 percent in 2006, and that has also sent prices soaring. And supplies of organic soybeans and grains are squeezed, not only are they needed for human consumption, they serve as feed for the animals that will be sent to market as certified organic beef, chicken, eggs and pork. Organic corn that sold for about $200 a ton last fall now commands about $500 a ton. Demand for ethanol in the U.S. and biodiesel abroad has helped send prices of corn and soybeans to record highs. At the same time, the rapid expansion of China, India and other developing nations has multiplied demand for agricultural products for both food and fuel in those countries. By Lauren Villagran, AP business writer.

Because of the demand of ethanol the price of corn and soybeans are going through the roof. So now not only the price of organic food is going up but also the price of all foods are increasing. And this is just the beginning. Farmers want to make as much money as they can, so do you and I. If it pays more to plant corn they will and not plant wheat, sugar cane, cotton and other food products. And because of supply and demand, the price of other products, like corn, will go up. So your monthly food bill will rise, say 20 to 30%. Are you ready to pay $100 to $150 extra for food a month? This will be hard for a family on a fixed income. Maybe if we just leave corn and soybeans for food only and drill for more oil we can save up to $2000 dollars a year. Does it make sense to pay more for food so we can burn corn in our cars? More reading: Corn demand takes toll on gulf


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Corn demand takes toll on Gulf

Because of rising demand for ethanol, American farmers are growing more corn than at any time since World War II. And sea life in the Gulf of Mexico is paying the price. The nation's corn crop is fertilized with millions of pounds of nitrogen-based fertilizers. When that nitrogen runs off fields in agricultural states, it makes its way to the Mississippi River and eventually pours into the Gulf, where it contributes to a growing "dead zone" - a 7,900- square -mile patch, the size of the State of New Jersey, so depleted of oxygen that fish, crabs and shrimp suffocate. With the demand for corn booming, some researchers fear the dead zone will expand rapidly with devastating consequences. "We might be close to a tipping point," said Matt Rota, "The ecosystem might change or collapse as opposed to being just impacted." By Henry C. Jackson, Associated Press writer. Here we go, the senate just passed a new energy law to save the earth by boosting the production of ethanol but the by product is going to kill the Gulf. The fertilizers that help the corn grow is the chief factor causing the dead zone. And now we are going to plant more corn and cause more death in the Gulf of Mexico. The most notorious dead zone on earth. You can research this by googling Gulf of Mexico Dead Zone. I believe where ever their is a positive their is a negative. A coin has a heads so it must have a tails. We look at the positives of corn, ethanol, and only the negatives of oil. We need to think with our heads and not our hearts. The State of Florida don't want us to drill off their coast, they want to save the beauty of their coast. Maybe this new fuel will just kill their coast. Remember the dead zone off the coast of the State of Louisiana is the size of the State of New Jersey. Let's just drill for oil and the trees will take of the environment.