Basic Food Prices Set to Rise
And we could soon be importing grain
As the drought in the southern states worsens Australia could be about to become an importer of wheat for the very first time. Even the Federal Minister for Agriculture is warning that Australia faces “unprecedented times”.
We can expect to see the price of basic food items, such as eggs, milk, meet and even bread begin to rise as the drought impacts on our primary producers. Estimates that the Australian wheat harvest could be down by as much as 60 percent will impact a wide range of industries that rely on grain as feedstock.
For example, eggs are tipped to rise by between 20 cents and 30 cents a dozen as egg producers are forced to compete for limited grain supplies with millers and other grain users.
Australian farmers are no strangers to drought but this time ordinary consumers are going to find that droughts can be a problem for city dwellers too and we will even feel the effects here in Hervey Bay
