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Wheat Prices Soar

 

Bakers Appeal To Lawmakers

 

Wheat prices have hit record levels as supplies dwindle, raising concerns about growing food inflation.

Chicago Board of Trade wheat for delivery in March rose the maximum 90 cents allowed, to $11.99 a bushel in electronic trading in Asia on March 3.

High-protein spring wheat on the Minneapolis Grain Exchange rose by almost 25% to record levels on Feb. 26.

Kazakhstan has become the latest country to put export restrictions on wheat as it battles against inflation. Russia and Argentina have already imposed similar export restrictions.

The 25% rise in Minneapolis came after all trading restrictions were scrapped. The March futures contract closed at up $4.75 at $24 a bushel, the record price for any US wheat contract. The price of spring wheat has more than doubled since January.


Tough new private standards for organic personal care products that that rely on National Organic Program rules were unveiled in January, and were scheduled to undergo 45 days of public comment.

The standards were issued by NSF International of Ann Arbor, MI, after a task force for industry and trade association leaders, along with some state officials, hammered out a final draft.

The new rules lay out very specific rules on manufacturing and labeling claims, and processors will be subject to compliance audits.

“Like USDA NOP regulations, this standard includes allowances and restrictions on processes, agricultural ingredients, synthetic ingredients, and methods of extraction based on the specific label claim to be made on the final product,” the draft proposal states. “The organic claim is a process claim, not a product claim. Testing will not determine whether or not a product is organic.”

Processors will be required to develop an organic systems plan as food processors do now. In addition, non-organic ingredients that are produced from sewage sludge, ionizing radiation, or petroleum compounds (except those that are specifically allowed) cannot be used.


The National Organic Standards Board said it would go ahead with drafting new anti-animal cruelty rules after hearing proposals from Whole Foods Market and former Agricultural Marketing Service director Kathleen Merrigan.

“This is an extremely important issue,” said NOSB member Bea James. “Consumers have a perception that it is the duty of the NOSB to bring forth health and welfare standards.”

“This is an area that is hot and going to get hotter,” Merrigan said.

Barbara Robinson, the AMS executive who oversees the National Organic Program, told the NOSB at its meeting Nov. 28 in Alexandria, VA to keep the regulations “simple”. “Meat is only 2% of the industry. Just get your toe in the water.”

Margaret Wittenberg, global vice president of quality standards and public affairs at Whole Foods, said the retailer has developed a five-step animal welfare rating systems.

The label rankings apply to beef, sheep, broilers, chickens, turkeys, ducks, laying hens, pigs, dairy, and veal, she said.


 

Members of two professional baking organizations will met in March with USDA Secretary Ed Schafer, White House officials, and congressmen, seeking relief from soaring commodity prices.

The “Band of Bakers” march on Washington, DC March 12 was organized by the American Bakers Assn. and the Retail Bakers of America.

“ABA is very concerned about the impact on consumers, particularly lower income families,” said ABA president and CEO Robb MacKie. “The situation is likely to get far worse, particularly on the supply side, if quick action is not taken. We will impress upon policymakers the need to take immediate action to address this serious situation.”

“Commodity prices for every item we use are out of control and rising faster than we could every hope to catch them,” said Michael Kalupa, president of Retail Bakers of America. “This issue is about how our industry will survive the next 12 to 18 months.”

ABA is asking the USDA to allow an “early out” of non-environmentally sensitive acreage from the Conservation Reserve Program to allow more wheat to be planted.

“Other countries are stockpiling their strategic grain reserves, and the United States should do the same until USDA can ensure adequate supply,” MacKie said.


Because the National Organic Program has run out of money for technical reviews of ingredients petitioned for the National List, a high level USDA official said she will ask for help from Agriculture Marketing Service scientists.

Barbara Robinson, the AMS executive who oversees the NOP, said she would ask if AMS scientists could be used to do TAP reviews.

Because Congress has extended budget authorizations rather than approving a new fiscal year budget, funds for TAP reviews are not officially appropriated. The fund drought has forced the NOP to hold up action on requests from manufacturers and others. A TAP review normally costs $4,000.


Organic Style Ltd. in San Francisco, CA launched an online eco-luxury boutique with gourmet organic gift baskets and other ecological products.

The new web site, OrganicStyle.com, was set up by Gerald Prolman, founder and CEO of Organic Bouquet. Prolman also founded organic produce company Made in Nature.

The site also features organic cotton bed and bath products, “Eco-chic” designer apparel, and ecological gifts for pets. To do business with the company, visit www.organicstyle.com.

 

 

 

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