INDIANAPOLIS (AP) — Purdue agricultural experts say the drought that’s
hitting much of the Midwest this summer will hit consumers in the pocketbook
by next year.
Economist Chris
Hurt says food prices tend to go up whenever production decreases in a major
farm state like Indiana, which he says the drought has hit hardest. Hurt
says hot, dry weather is likely to affect other breadbasket states as well.
Hurt says the
U.S. Agriculture Department projects food prices will rise by as much as 3.5
percent overall, starting late this year and into 2013. Beef prices could
rise as much as 10 percent. Experts say everything from meat and milk to
cereal and cooking oil will likely be affected.
Hurt says the
increase will hurt consumers because incomes aren’t rising.
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